MicroStrategy

Shares of the technology company have tumbled alongside bitcoin, down 35% over the past few days and nearly 75% so far this year.

MicroStrategy Inc., ARK Innovation exchange-traded fund, Tesla Inc. and Twitter Inc. are what I'm watching to identify the ultimate capitulation point of ...

The short answer is always: No. The more nuanced answer is differentiating between a capitulation point and THE capitulation point. Every time there’s a panicked few days’ trading in markets, my inbox gets filled with messages asking whether we’ve seen a capitulation point that clears the way for the next bull market in stocks. MicroStrategy Inc., ARK Innovation exchange-traded fund, Tesla Inc. and Twitter Inc. are what I’m watching to identify the ultimate capitulation point of this cycle.

Bitcoin is not giving MicroStrategy CEO Michael Saylor sleepless nights despite BTC price weakness.

Saylor linked to a previous tweet from just after May's drop to $23,800, which at the time was a ten-month low. Specifically, BTC/USD dropping below $21,000 would trigger a margin call, potentially losing MicroStrategy its position if it did not respond with extra capital. A look at MicroStrategy's share price this week shows the pitfalls of Bitcoin exposure from the perspective of legacy markets, MSTR now trading down 26.5% in a month and 73.4% year-to-date, according to data from TradingView. In it, he outlined contingency plans, noting that even if all the available BTC were to be posted as collateral for the loan — implying a BTC price of under $3,600, the March 2020 bottom — the pool of available cash would not end there. According to the monitoring resource Bitcoin Treasuries, the firm's 129,218 BTC stack is currently being held at a net loss of $1.06 billion — around two-thirds of its total market cap. With the largest corporate Bitcoin treasury, MicroStrategy has felt the pain of this year's BTC price declines — at least on paper.

Michael Saylor's MicroStrategy (MSTR) is sitting on an unrealized loss of more than $1 billion on its bitcoin (BTC) holdings as the price of the largest ...

MicroStrategy Inc. founder and Chief Executive Officer Michael Saylor's big bet on Bitcoin has backfired in a major way as the paper loss for his firm's ...

Shares of MicroStrategy are trading under pressure amid strong sell-off in crypto markets and after crypto lender Celsius paused withdrawals and transfers, ...

Currently, MicroStrategy reports its cryptocurrency holdings as intangible assets, which are then impaired if the value dips. Bitcoin has shed more than 60% from its record high in November, adding further momentum to the meltdown in cryptocurrencies. Shares in the business intelligence specialist and cryptocurrency investor have seen a monumental 800% during the period between October 2020 and February 2021 as bitcoin climbed.

The company had said it would face a margin call if the price of bitcoin drops to about $21000.

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MicroStrategy Inc.'s purchase of nearly 130000 bitcoins at a cost of about $3.97 billion is taking a toll on the software firm's balance sheet.

One analyst reportedly told CNBC: “We could see much lower bitcoin prices over the next month or two.” The Wall Street Journal reported today (June 13) that another factor in the decline of bitcoin’s value is the increasingly strong correlation between the value of bitcoin and that of other risky assets such as technology stocks. On Monday (June 13), the value of bitcoin fell as much as 17 percent, according to Bloomberg, putting the value of each MicroStrategy bitcoin at about $22,603.

Shares of MicroStrategy and Coinbase collapsed during premarket trading on Monday as the price of Bitcoin fell below $24000.

“As you can see, we mentioned previously we have quite a bit of uncollateralized Bitcoin,” Le said during last month’s call. At the time of writing, BTC is trading hands at $23,243, down over 17% in the past 24 hours. “So we have more that we could contribute in the case that we have a lot of downward volatility.” Following the trend, stock in crypto exchange Coinbase (COIN) stock fell by a hefty 21.5% to $46.06 on premarket, before climbing up to $51.87 at time of going to press, down 11.66%. Block Inc. (SQ) dropped 7.35% to $66.59 in premarket and is continuing to slip, trading at $64.29 at the time of writing, down 10.55%. MSTR, which traded at $203.36 on the closing bell on Friday, fell to $147 after the market open, before recovering to $155.50, down 23.53%, as the software manufacturer came under increased pressure due to its stock trading at a discount to the firm's Bitcoin holdings.

Led by CEO Michael Saylor, MicroStrategy raised more than $2 billion in debt to buy and hold bitcoins starting in August 2020.

Or, no, that’s actually going to be worse?’ because what the lender is going to do is as you post the additional collateral, the value in additional collateral is gonna go down along with the rest of the existing collateral.” Now, the company faces risk from a crypto contagion. “[Michael Saylor has] one game plan,” ProChain Capital’s president and co-founder David Tawil told Blockworks. “He has nothing to gain by wavering. And Saylor has gone on to buy more bitcoin with loans — collateralized by bitcoin. The technology company holds 129,218 bitcoins, valued at just over $3 billion at press time. - The technology company holds 129,218 bitcoins, valued at just over $3 billion

MicroStrategy is leading Marathon, Riot and Coinbase in a cryptocurrency-exposed stock selloff as the firm's Bitcoin holdings dropped by around US$1 ...

- In May, MicroStrategy CFO Phong Le said that if Bitcoin fell to around $21,000, there was thepotential for a margin callon outstanding loans, while Saylor said the company could still post collateral if Bitcoin drops below US$3,562. - The software firm may need to pledge additional collateral on a$205 million loanit took out this March in the case of an even deeper drop in Bitcoin prices. - The recent cryptocurrency boom helped MicroStrategy recover from dot-com bubble losses of the early 2000s, but the company faces a new threat as Bitcoin is trading down more than 50% in the past six months,according to CoinGecko data.

MicroStrategy Inc. may need to post additional collateral for a loan as Bitcoin tests a key price range flagged by the company last month.

SINGAPORE : Bitcoin neared a price level on Tuesday that could force software firm MicroStrategy Inc to stake more tokens against a bitcoin-backed loan or ...

The company did not immediately respond to an emailed request for comment outside business hours. Bitcoin has fallen about 40 per cent in six weeks. It was unclear if the price moves had any consequences for MicroStrategy, or if the firm already provided more bitcoin or cash to secure the loan.

SINGAPORE :Bitcoin neared a price level on Tuesday that could force software firm MicroStrategy Inc to add more tokens against a bitcoin-backed loan or ...

Mark Palmer, head of digital asset research at BTIG, downplayed the risk of a margin call forcing MicroStrategy to trim its holdings. Based on bitcoin's last traded price of $22,254, the value of those coins was $2.1 billion. If the bitcoin price dropped below about $21,000 that would trigger a "margin call" or a demand for extra capital, MicroStrategy President Phong Le said in webcast in May.

A $4 billion bet on bitcoin by software firm MicroStrategy is in jeopardy after the cryptocurrency's recent plunge.

In June, Saylor insisted the company has more than enough bitcoin to cover its collateral requirements. "Bitcoin needs to cut in half or around $21,000 before we'd have a margin call," Le said at the time. The company took out a $205 million loan from Silvergate, a crypto-focused bank, to continue its bitcoin buying spree. MicroStrategy has bet billions on the cryptocurrency — $3.97 billion, to be exact. Bitcoin's price plunged 10% to $20,843 on Tuesday, extending a brutal sell-off and dragging it deeper into levels not seen since December 2020. The fiasco shaved over $11 billion off MicroStrategy's stock market value in a single day.

Bitcoin neared a price level on Tuesday that could force software firm MicroStrategy Inc to stake more tokens against a bitcoin-backed loan or trigger ...

The company did not immediately respond to an emailed request for comment outside business hours. Register now for FREE unlimited access to Reuters.com Register now for FREE unlimited access to Reuters.com

It borrowed from crypto-native Silvergate Bank, a unit of Silvergate Capital, in March to buy more bitcoin. What they're saying: "We remain committed to our ...

That means MicroStrategy could soon face a requirement to post more capital for its roughly $205 million bitcoin-collateralized three year term loan. - He also pointed to his Tuesday morningtweet, saying the company "structured" the company's balance sheet to withstand "adversity." Enterprise software company MicroStrategy is at risk of having to post more of its bitcoin after taking out a loan to buy more bitcoin.

MicroStrategy CEO Michael Saylor said on Tuesday (Jun 14) the software firm was capable of withstanding volatility in bitcoin prices after the token slumped ...

Mark Palmer, head of digital asset research at BTIG, downplayed the risk of a margin call forcing MicroStrategy to trim its holdings. Based on bitcoin's last traded price of US$22,254, the value of those coins was US$2.1 billion. The company did not respond to requests for comment.

MicroStrategy Inc. Chief Executive Michael Saylor told investors not to worry about a potential margin call on a Bitcoin-backed loan, saying the company has ...

The crypto rout deepened this past weekend with bitcoin falling to $22,611 on Monday afternoon. The selloff also brought the terms of MicroStrategy's debt agreement into focus for investors, some of whom had flocked to the company's shares following its ...

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SINGAPORE (Reuters) -Bitcoin neared a price level on Tuesday that could force software firm MicroStrategy Inc to add more tokens against a bitcoin-backed ...

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MicroStrategy, an aggressive investor in the highly volatile cryptocurrency bitcoin, borrowed US$205 million from crypto bank Silvergate Capital Corp in March, ...

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