Analyst at Bernstein estimated that MicroStrategy ($MSTR), the largest publicly traded corporate holder of Bitcoin, could control 4% of the total Bitcoin supply by the end of 2033. These strategic purchases are expected to be value at approximately $830 billion if the growth cuvre of Bitcoin (BTC) continues in the same manner.
Bernstein analysts predict MicroStrategy, $MSTR, will own 4% of the total bitcoin supply by the end of 2033, an amount they expect to be worth about $830 billion.
— unusual_whales (@unusual_whales) November 28, 2024
MicroStrategy, under the leadership of Michael Saylor has been aggressively accumulating Bitcoin since 2020. The company sees BTC as a superior store of value and a hedge against inflation. The company currently holds 158,000 BTC, worth more than $15 billion at today’s price.
With its business strategy, the company is set to further solidify its position as the most dominant player in crypto market.
Long-Term Vision and Market Impact
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Bernstein with prediction indicates confidence in MicroStrategy’s strategy and value appreciation of Bitcoin. By 2033, the total Bitcoin suppy will be capped at 21 million coins, with around 19.5 million already mined. Owning 4% of this supply of BTC indicates MicroStrategy’s influence in the ecosystem and its potential impact on market movements.
Strategic Use of Corporate Debt
MicroStrategy has always come up with innovative ways to buy Bitcoins. A few of these strategies include issuing convertible notes and leveraging corporate debt. This approach mirrors strategies used by other institutional players but on a larger scale, indicating strong conviction in Bitcoin’s future.
Challenges and Opportunities with Bitcoin
While the future forecast seems very optimistic, the risks still persists. Bitcoin’s price volatility and regulatory scrutiny could pose challenges but, if the prediction holds true, the holdings could open a new door for corporate crypto investments.
Moreover, small cap companies have already started following the footsteps of MicroStrategy in order to survive and thrive. As more companies adopt this strategy, it could lead to increased institutional adoption and further fixate BTC’s role in corporate finance.
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