MicroStrategy made headlines once again by purchasing 5,262 BTC for approximately $561 million at an average price of $106,662 per BTC. The company now owns a staggering 444,262 bitcoins, accumulated at a total cost of approximately $27.7 billion, with an average purchase price of $62,257 per bitcoin.

Despite impressive returns of 47.4% since the beginning of the quarter and 73.7% since the beginning of the year, doubts about the company's strategy are growing.

He believes that to maintain his purchases, Accurate strategy It raises capital through methods such as issuing convertible notes and corporate bonds, securing lines of credit and selling shares.

This cycle seems to work like this: shares are sold to acquire cryptocurrency, and the rising price of each bitcoin increases the value of the asset, allowing for more loans, which are then reinvested in more Bitcoin purchases.

Some observers warn that a significant decline in the price of Bitcoin or MicroStrategy stock could trigger a ripple effect. sharp decline in MSTR The stocks would weaken the collateral backing their loans, potentially leading to forced asset sales, including Bitcoin.

This scenario could put downward pressure on the broader cryptocurrency market, as the company holds 2.2% of the global supply of Bitcoin now.

Thus, while some view Michael Saylor's approach as a bold attempt to strengthen the role of cryptocurrency in the financial system, others see it as unsustainable. History offers a cautionary note: In 2000, MSTR shares rose to $333 before falling 99%, a crash from which it took 24 years to recover.