
Leading publicly traded Bitcoin Treasury, Strategy Inc., has filed with the US Securities and Exchange Commission (SEC) for more stock offerings, namely:
Altogether, these equity offerings total $44.1 billion, which the company intends to use to purchase more Bitcoin (BTC).
Following the news, MSTR closed at $138.20, having gained 1.87% during trading hours.
Source: MarketWatch
The move is part of the company’s broader 42/42 plan, in which it intends to purchase $84 billion worth of Bitcoin by the end of 2027. In this plan, Strategy raises money for BTC purchase through stock offerings and the issuance of debt instruments such as corporate bonds.
Source: CryptoQuant
Historically, a similar stock sale in October 2024 was followed by a price surge in Bitcoin, as depicted by crypto analyst Maartun.
Source: X
A year later, Bitcoin saw a crash from $122K and has since been consolidating between $60-$75K. Strategy has, however, been unfazed by market volatility, with its Executive Chairman, Michael Saylor, saying the firm will keep buying Bitcoin “forever.”
Following a recent additional purchase, the company now holds 762,099 BTC in its treasury, which is 3.6% of the total 21 million BTC supply.
At press time, BTC was trading at $70,942, up 4.04% in the last 24h, driven by a five-day de-escalation in Middle East geopolitical tensions.
If the digital asset maintains its price above $70K, then a test of $72K-$74K is likely. Losing this support would mean a retest of $68K.
Historically, Bitcoin is poised for the final leg down before kicking off a bullish trend. Crypto analyst Ali points out that October 6-16 would be a ripe entry period, with prices likely sub-$45K.
The key events to watch out for include the US-Iran conflict, inflation, interest rate announcements, and unemployment claims.
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