The cryptocurrency market, led by bitcoin, has undergone a major downsizing since its high on February 22. Notably, the value of BTC peaked at $ 58.330 before reaching $ 45.000 again, bringing investor panic and losses.
Many today think that the bull run is over, partly because they have suffered huge losses and partly because bitcoin is struggling to hit $ 50.000 again. However, in the last 24 hours the coin has started to rise again - here the quotations in real time.
MicroStrategy has not been intimidated and continues on its way
Meanwhile, bitcoin short sellers seem to be providing more liquidity to companies, which can accumulate hundreds of millions and billions of BTC in a short time.
MicroStrategy revealed that it was one of the largest short buyers of BTC after CEO Michael Saylor said he had bought an additional 19.453 BTC for more than $ 1 billion. Saylor tweeted:
"MicroStrategy purchased an additional 19.452 bitcoins worth $ 1,026 billion at an average price of $ 52.765 per #bitcoin."
The purchase, also conducted through Grayscale Bitcoin Trust, brings the total of BTC purchased by the company to over 90 thousand.
Square also moved in the same direction
The news came just shortly after Square announced a similar purchase. The company "took home" another 3.318 bitcoins for $ 170 million. When combined with the original purchase, Square now owns 5% of the total liquidity and tradable securities in Bitcoin.
In addition, Square reports that over 3 million customers have bought Bitcoin through the Cash App and more than 1 million have bought the digital currency for the first time, in January 2021.
Additionally, the volume of BTC per client increased 2,5x year-on-year in the last quarter of last year, mostly due to the huge buying activity that took place. It was mainly existing customers who bought other bitcoins to increase their volumes, but there were also new buyers.
Bitcoin is far from "arrived"
Michael Saylor recently stated that fear of market corrections often costs people more money than actual corrections. In fact, he says that investors lose far more money in "preparing" for corrections, to try to anticipate them, rather than how much they lose because of the corrections themselves.
According to cryptocurrency analyst Michael Van de Poppe, while the correction may not have come to an end, the fact that institutions are buying more bitcoin indicates that the world's most important digital currency is set to recover soon.
Why sell now if institutions are rushing to buy? Are more and more financial instruments on the way for #Bitcoin? There is no point in selling. Not now.