MicroStrategy buys the dip by purchasing 660 Bitcoin for $25M

MicroStrategy, a major Bitcoin (BTC), investor has announced another major BTC buy during a market dip. They will collect a total amount of 125.051 BTC as at Monday.

MicroStrategy bought 660 Bitcoins between December 30, 2021 and January 31, 2022 for approximately $25 million in cash, according to an official document filed with the United States Securities and Exchange Commission.

According to the report, the average BTC purchase price was $37,865 per BTC. This includes fees and expenses. MicroStrategy had approximately $3.78 billion in BTC as of January 31, with an average purchase price around $30,200 per BTC. This includes fees and expenses.

MicroStrategy purchased an additional 660 Bitcoins at a price of $37.865 per #bitcoin. We #hodl 125051 bitcoins purchased for $3.78 Billion at an average price $30,000. $MSTRhttps://t.co/bF6VImC0Qy
Michael Saylor (@saylor), February 1, 2022

This latest report is coming shortly after MicroStrategy’s Bitcoin accounting methods were rejected by the SEC, which caused MicroStrategy shares in mid-January to plummet.

MicroStrategy’s reporting of BTC purchases made using non-Generally Accepted accounting Principles (GAAP) was specifically criticized by the SEC. MicroStrategy’s BTC purchases were calculated using non-GAAP methods, which excludes the “impact of share based compensation expense and impairment loss and gains on sales from intangible assets.”

According to MicroStrategy, the latest Bitcoin purchase is not as large as previous BTC purchases. MicroStrategy made two major BTC purchases in December 2021. They bought 1,434 Bitcoins from Nov. 29 through Dec. 9, at an average price $57,477 per BTC, and then purchased 1,914 BTC between Dec. 9 and Dec. 29, at an average price $49,229 each BTC.

The company previously bought 7,002 BTC between Oct. 1 and Nov. 29, at an average price of $59,000.87 per BTC.

Related: MicroStrategy CEO will not sell $5B BTC stash despite crypto-winter

Despite the market downturn of January, major Bitcoin investors such as El Salvador’s government continued to invest in Bitcoin. January 21st, El Salvador President Nayib Bukele declared that the Salvadoran government had purchased 410 Bitcoin for $15 million. This puts the average price of a bitcoin at $36,585 per BTC.

https://cointelegraph.com/news/microstrategy-buys-the-dip-by-purchasing-660-bitcoin-for-25m