Kanchanara | Unsplash
It appears that we are at a time when the volatility of cryptocurrencies is somewhat stagnant, albeit downward. Bitcoin's price currently stands at $83,574 according to data from CoinGecko (TradingView). This makes us think that we could visit the $70,000 mark if there is no promising news that changes the game plan.
However, there are companies willing to make significant investments in BTC, either because we are at a price that can be considered very attractive with respect to the great growth potential that the leading cryptocurrency has going forward. Recall that its peak reached an incredible $108,786 just two months ago. With this in mind, we can infer that many companies are devising strategies to take advantage of a market that may not know how to take advantage of this type of situation in which a great opportunity presents itself.
BTC/USDT Price | Obtained from CoinGecko (TradingView)
It has been disclosed that Bitcoin mining company, Mara Holdings, has reached a large deal in which up to $2 billion in MARA shares may be sold, with the proceeds to be used for the acquisition of BTC and matters having to do with “general corporate purposes”. This agreement was disclosed through a 44-page Form 8-K and a prospectus filed with the U.S. Securities and Exchange Commission, known as the “SEC”. Significant financial institutions such as Barclays Capital, BMO Capital Markets, BTIG and Cantor Fitzgerald will participate in this agreement.
There are several factors for a generalized market decline, and one of them is directly related to macroeconomic uncertainty. There are also signs that inflation could continue to rise, and this is a concern for the entire investment sector. It is true that Bitcoin could be a backup against this issue, but we should mention that, for example, there is a direct market sentiment, which in many occasions overreacts. This causes people to become alarmed and make inopportune decisions, penetrating sectors such as stocks, so many investors prefer to remain cautious.
While MARA shares have fallen 8.58% towards $12.47 no more than three days ago in a context of concern over mining stocks produced by the effects of macroeconomic uncertainty, the company's effort in targeting BTC accumulation through treasury strategies can be highlighted. Of note is the fact that such a strategy gained popularity thanks to Michael Saylor's software company, formerly known as MicroStrategy; today Strategy.
Michael Saylor, founder of MicroStrategy | Obtained from fortune.com
If we talk about Bitcoin holdings, Strategy is the leader, with a balance of 506,137 BTC, while MARA has a holding of 46,374 BTC, with a current value that represents an approximate $3.8 billion, according to data offered by the Bitcoin Treasures site.
MARA's CEO, Fred Thiel, assures that the company's intention is to engage in keeping the BTC that have been mined as well as making periodic purchases on the open market. We can interpret that every time a recurring event such as Bitcoin halving happens, BTC production is reduced, which also translates into a reduction in rewards. Last year's halving negatively impacted this behavior, resulting in a 27% drop in production. Still, an increase in the price of Bitcoin allowed MARA to establish a significant profit margin at $1.24 per share.
Without a doubt, MARA is a company that has transcended due to the moves it has made. The company has previously reported considerably significant earnings with respect to the fourth quarter of 2024, with revenue managing to grow 37% since then, representing a profit of $214.4 million. Net earnings reflect a 248% increase to $528.3 million.
- Information consulted at decrypt.co.
- Translated into English with DeepL.