In a recent announcement that has caught the attention of the cryptocurrency market, Michael Saylor, the CEO of Strategy Inc. (NASDAQ:MSTR), stated on social media platform X, “We are buying,” reinforcing his commitment to Bitcoin even in the face of a potential 80% price drop. Saylor’s remarks highlight his belief in the resilience of Bitcoin as an investment asset, which he claims has continuously outperformed other major asset classes, achieving an average annual gain of approximately 50% over the past five years.
Saylor pointed out Bitcoin’s impressive price trajectory from around $55,000 to $94,000 within a short 14-month timeframe, suggesting such returns often exceed investor expectations. He urged Bitcoin investors to brace for significant price volatility, emphasizing the importance of maintaining a long-term investment perspective spanning at least four years.
The CEO remarked on the recent clearing of excess market leverage, attributing it to long-term holders selling near the $100,000 mark, which he described as establishing a “strong base of support” for Bitcoin’s price. He expressed confidence that Bitcoin will continue to outperform traditional investments like gold and the S&P 500, labeling it as “digital capital.”
Saylor also reassured investors about the financial health of Strategy Inc., disclosing that the company is lightly leveraged with debt not maturing for four and a half years, and emphasizes that it remains overcollateralized, even in a worst-case scenario where Bitcoin falls sharply. He explained that the company employs preferred equity to amplify returns, while strategically avoiding traditional credit default risks.
Additionally, Saylor responded to remarks made by Cathie Wood, CEO of Ark Invest, who had claimed that the growth of stablecoins might diminish Bitcoin’s transactional utility. Saylor disagreed, advocating that the digital asset economy is expanding along two complementary paths, with Bitcoin serving as “digital gold,” while stablecoins and tokenized assets underlie digital finance networks like Ethereum and Solana.
When queried about the company’s Bitcoin accumulation strategy, Saylor confirmed that Strategy is “always buying,” having recently accelerated its purchases. He indicated that the firm now holds nearly 3.1% of the entire Bitcoin network, with an average purchase price approaching $74,000 per coin.
In his guidance for various investor timeframes, Saylor advised long-term investors to focus directly on Bitcoin, while suggesting that those interested in leveraging digital capital might consider his company’s stock. He also mentioned that short-term investors could find value in digital credit instruments linked to lower-volatility yield products.
As the broader market continues to evolve and investment opportunities diversify, Saylor’s strategies reflect a steadfast optimism about Bitcoin’s future and its role within the broader financial landscape.
