The self-proclaimed single largest corporate holder of Bitcoin, MicroStrategy, indicates adding to its existing lot by dully announcing that it is upsizing its ATSR senior convertible note sale to $2.6 billion. Most of the funds that will be raised will be used in collection more bitcoins since the market anticipates that BTC will hit a $100,000 target.
Initially announced at $1.75billion, the note sale was upsized due to the interest from institutional investors. The offering, which comes with a 0% interest rate, is aimed at “qualified institutional buyers” and is scheduled to be exercised under the offering by November 21, subject to customary conditions.
Bitcoin’s Recent Surge and ETF Inflows Fuel $100K Expectations
MicroStrategy estimates net proceeds at about $2.58 billion with incremental purchase of additional notes could bring the figure to $2.97 billion. Some analysts, like Ryan Lee, chief analyst at Bitget Research, believe BTC could hit $100,000 by the end of the month, as he shared:
“If history repeats itself and BTC prices grow as projected, a 14.7% from the current price level will push the coin well above the $100,000 target for the month. The post-halving cycle trend is also very positive when projecting the future of Bitcoin.”
The announcement aligns with Bitcoin’s recent surge, trading above $93,970 at 1.30 pm UTC, which rose to 37% during the previous month. This growth is further backed by large inflows to US BTC exchange-traded funds (ETFs). Net funds inflow stood at more than $816 million on November 19 and ETFs moving up for six straight weeks.
MicroStrategy’s big gamble has only added to market expectations that BTC could surpass its high and surge past $100,000. That is why CEO Michael Saylor who is an active supporter of BTC stated that BTC is a reserve currency and has all the chances to become the best hedge against inflation in the future.
Given MicroStrategy’s past track record of making strategic BTC purchases, this move should make BTC’s supply even scarcer and potentially force prices higher. Investors are already observing whether this will open up a new breakthrough of the Bitcoin into six-digit numbers.
The fact that the institutional interest is growing, and the flow of investments in ETFs is still robust, MicroStrategy’s actions may indeed be the spark that is needed to start the next Bitcoin revolution.
