Crypto News – A U.S. Securities and Exchange Commission clearance of Bitcoin exchange-trusted funds (ETFs) is imminent, and analysts and specialists have begun to assess MicroStrategy Chairman Michael Saylor‘s Bitcoin accumulation plan, according to Bloomberg.
Saylor Bitcoin Accumulation Plan Could Be In Jeopardy If ETF Approval Comes
The SEC’s current attitude toward spot Bitcoin ETF submissions has, in fact, sparked rumors of impending approval, according to the report. The regulator’s choice to drop its legal battle against the Grayscale Bitcoin-ETF litigation triumph has also fueled these conjectures.
Many in the cryptocurrency community, therefore, believe that an ETF may receive regulatory approval in the near future. Among the excitement, the paper stated that analysts have assessed whether MicroStrategy’s Bitcoin holdings will continue to provide value for its shares.
The Company Turns to Purchasing Bitcoin Due to Decline in Sales
In fact, around the middle of 2020, when the value of the token was about to soar, Michael Saylor began to amass Bitcoin holdings. As of September 2023, Saylor had acquired more than $5.5 billion worth of Bitcoin. According to the report, Saylor felt that MicroStrategy needed to maintain less currency to protect itself from the alleged inflation threat, so he decided to buy Bitcoin. Additionally, the corporation included Bitcoin accumulation as a goal due to a decrease in sales.
The article claims that since then, the price of MicroStrategy’s shares has nearly tripled. Additionally, MicroStrategy’s 158,245 Bitcoin holdings have increased the company’s share prices, according to TD Cowen analyst Lance Vitanza. However, according to the experts, there is a big risk to the share price appreciation of the ETF if it is approved in the upcoming months.
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