MicroStrategy Stock Rebounds as Bitcoin Surges Past $70,000
MicroStrategy's stock price has recovered from its two-month low, rising 6.9% to $111.14 on Thursday afternoon.
This increase erases the company's losses since June and brings the stock back to its best price since June 18.
The rebound is largely attributed to Bitcoin reaching a new high of over $70,000, which has not been seen in 78 days.
The Treasury's decision to double the size of its long-end bond buybacks and the SEC's proposed Regulation Crypto Assets also contributed to the surge in crypto stocks.
MicroStrategy holds approximately 840,447 Bitcoins, which it purchased at an average price of $75,385 per coin. At the current market price, this stash is worth around $58.67 billion, leaving a paper loss of about $4.69 billion.
Zach Pandl, head of research at Grayscale, said that 'it's a compelling time for investors with longer-term horizons to be allocating to Bitcoin and the crypto asset class.'