MicroStrategy turns Bitcoin investment into profit again, stock outperforms BTC and Nasdaq
MicroStrategy once again turned its Bitcoin holdings from losses to gains. By averaging its cost with additional purchases at an average cost of $27,053 in August and September, it successfully lowered its cost basis. Based on the Bitcoin price of $30,620 at the time of writing, MicroStrategy's 158,245 Bitcoins have an average cost of $29,582, resulting in an unrealized gain of $164 million.
MicroStrategy issued new shares to purchase Bitcoin again, surpassing similar ETFs with holdings of 158,000 Bitcoins.
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Michael Saylor: Bitcoin Outperforms Nasdaq
MicroStrategy's founder, Michael Saylor, happily pointed out that Bitcoin has outperformed the Nasdaq index, which is mainly composed of large tech stocks. Since MicroStrategy bought Bitcoin in August 2020, Bitcoin has risen by 147%, while Nasdaq has only increased by 18%.
#Bitcoin beats Big Tech. pic.twitter.com/ewmxQBELZF
— Michael Saylor⚡️ (@saylor) October 22, 2023
MicroStrategy Stock Outperforms Bitcoin Recently
In fact, the recent performance of MicroStrategy's stock has even surpassed that of Bitcoin. MicroStrategy's stock price has surged by 138% from the low point of $140 at the beginning of this year, while Bitcoin has only increased by 85% during the same period.
Benefiting from the new accounting rules approved by the Financial Accounting Standards Board (FASB) in early September, allowing companies like MicroStrategy that hold cryptocurrency assets to show the value of their cryptocurrency assets on financial statements at Fair Value. MicroStrategy's stock price has also been relatively strong. While the Nasdaq index has fallen by 5.3% in the past month, MicroStrategy has risen against the trend by 1.32%.
Shareholders are more pleased with the rise in Bitcoin! MicroStrategy stock price rises due to the new FASB regulations.