MicroStrategy Stock Rebounds After Two-Month Low Amid Treasury and SEC Moves
MicroStrategy's stock price has recovered from its two-month low after rising by 6.9% to $111.14 on Thursday afternoon, erasing a significant loss. The company's balance sheet is still under pressure, however, as the value of its Bitcoin holdings remains lower than their purchase price.
MicroStrategy holds 840,447 Bitcoins purchased at an average price of $75,385 per coin, totaling around $63.36 billion. At the current market price of $69,803, the company's Bitcoin stash is worth approximately $58.67 billion, leaving a paper loss of about $4.69 billion.
The Treasury's decision to double its long-end bond buybacks and the SEC's proposed Regulation Crypto Assets contributed to the rally in MicroStrategy's stock price, which also saw short sellers covering their bearish bets worth around $1.5 billion.