Strategy (MSTR), formerly MicroStrategy, has capped off its strongest month since November 2024, surging 32% in April and closing at $380.11, up from $288 at the start of the month.
April’s rally, which marked MSTR’s largest monthly gain since November’s 59% rise, was largely fueled by growing investor confidence in Bitcoin and speculative buzz around an expected “huge capital raise” hinted at by Apollo Sat founder Thomas Fahrer.
In an April 30 post on X, Fahrer boldly claimed that “$100B is in play,” ahead of the May 1 earnings announcement.
With Bitcoin (BTC) hovering around $94,000 and nearing its all-time high of $100,000 reached in December after Trump’s re-election, Strategy’s BTC-heavy treasury has again become a magnet for both bullish speculation and scrutiny.
Source: CryptonewsThe firm now holds 553,555 BTC, worth approximately $52.57 billion, purchased at an average price of $68,459, according to data from Saylor Tracker.
The upcoming earnings report is expected to show modest revenue growth, with some analysts projecting $116.6 million in Q1 revenue, a 1% year-on-year increase but a 3.4% decline from Q4 2024’s $120.7 million.
In Q4, Strategy reported a net loss of $670.8 million, primarily attributed to the volatility of Bitcoin valuations and the further accumulation of the cryptocurrency.
Aggressive Accumulation and Capital Strategy Raise Criticism
Behind Strategy’s stock performance lies a consistent and aggressive acquisition model that blends software revenue with capital market maneuvers.
In April alone, Strategy acquired over $1.9 billion worth of Bitcoin across two separate buys.
On April 28, the company disclosed a $1.42 billion purchase of 15,355 BTC at an average of $92,737.
This followed a $555.8 million buy disclosed on April 25 for 6,556 BTC at $84,785 each. Combined, these acquisitions added over 21,900 BTC to Strategy’s holdings.
These purchases were funded through two at-the-market (ATM) equity programs, which enable the company to issue new shares in real-time to raise funds.
Strategy also entered into a sales agreement to issue its 8% Series A perpetual preferred stock, raising capital for “general corporate purposes,” including further Bitcoin acquisitions.
Such moves have raised questions among analysts about the sustainability of the firm’s balance sheet. Strategy’s debt stands at $8 billion, with annual interest payments of $35 million and dividend payments of $150 million.
Its software division no longer generates enough cash to service these obligations, and a legal filing earlier in April revealed that the company may be forced to sell BTC at a loss to meet financial commitments.
Nevertheless, Strategy has maintained a buy-and-hold posture, pausing BTC acquisitions only briefly from March 31 to April 6 due to geopolitical tensions and economic uncertainties.
Metaplanet Expands U.S. Presence Amid Global Bitcoin Strategy
While Strategy continues to dominate the institutional Bitcoin narrative in the U.S., Japanese investment firm Metaplanet is also making moves.
The company has announced the formation of a wholly-owned subsidiary, Metaplanet Treasury Corp., in Florida, with a capital commitment of up to $250 million dedicated to expanding its Bitcoin treasury strategy.
CEO Simon Gerovich confirmed the move via X, citing Florida’s emergence as a hub for Bitcoin innovation.
Metaplanet’s decision to operate in Florida reflects the growing convergence between crypto-friendly legislation and institutional capital.
The state is also advancing a bill to create a state-level Bitcoin reserve, which could enhance Florida’s standing as a go-to destination for crypto-native companies.
Metaplanet’s U.S. expansion is part of its broader goal to accumulate 10,000 BTC in 2025.
Already halfway there, the new Florida-based subsidiary is expected to offer 24-hour operations across time zones, increasing liquidity access for institutional players.
With Bitcoin nearing all-time highs and crypto regulation shifting favorably, Strategy’s 32% April rally might just be the beginning of an even more volatile but transformative quarter.
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