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WASHINGTON – Michael Saylor, executive chairman of MicroStrategy, forecasts significant growth in the value of bitcoin in 2024. This forecast is based on two major upcoming events: the early approval of bitcoin cash exchange-traded funds (ETFs) here on January 10, 2024, and the bitcoin halving event scheduled for April. The latter will reduce the daily number of bitcoins mined from 900 to 450.
Mr. Saylor, whose company has a large bitcoin portfolio, believes these developments will cause supply and demand shocks in the market. In his interview with Bloomberg on Tuesday, he compared the potential impact of a spot Bitcoin ETF approved by the US SEC to historic developments on Wall Street, such as the introduction of index funds. This suggests that the approval of spot Bitcoin ETFs could be a pivotal moment that brings traditional investors into the cryptocurrency space.
In anticipation of this potential uptrend, MicroStrategy is not only maintaining, but strengthening its bitcoin investment strategy. The company recently strengthened its positions by purchasing $5.3 million worth of bitcoins when their price exceeded $34,000. The move is in line with analyst expectations for ETF approval and reflects MicroStrategy’s strategy to continue accumulating funds based on those expectations.
MicroStrategy plans to use strategies such as low-interest borrowing or what Mr. Saylor calls “smart leverage” to continue investing in the digital currency. This tactic is part of preparation for expected changes in the market and underlines the company’s confidence in the future value of bitcoin.
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