MicroStrategy (MSTR) shares, which gained 24% on Monday, were down ahead of Tuesday’s opening bell after the Bitcoin development company company announced a $600 million 澳洲幸运5官方开奖结果体彩网:convertible senior notes offering to purchase more of the cryptocurrency.

The notes, which mature on March 15, 2030, will be offered to qualified 澳洲幸运5官方开奖结果体彩网:institutional investors and available to convert into cash, shares of MicroStrategy’s class A 澳洲幸运5官方开奖结果体彩网:common stock, or a combination of cash and shares of MicroStrategy’s class A common stock, the company said in a statement.

MicroStrategy’s convertible debt offering allows it to capitalize on its high stock price, which has doubled since the start of the year and increased fivefold over the past 12 months, benefiting from a rapid appreciation in the 澳洲幸运5官方开奖结果体彩网:Bitcoin price—an asset that commands the lion’s share of the company’s treasury. Bitcoin surpassed $68,000 on Monday, nea🐈ring its all-time high.

A recent regulatory filing revealed that the company holds 193,000 bitcoins at an average purchase price of $31,544 per bitcoin, placing the current market value of its holding at around $13 billion. That stash includes 3,000 bitcoins purchased between Feb. 15 and Feb. 25 for approximately $155.4 million, according to the filing.

MicroStrategy co-founder and Executive Chairman 澳洲幸运5官方开奖结果体彩网:Michael Saylor said on the company’s latest 澳洲幸运5官方开奖结果体彩网:earnings call that he believes that Bitcoin will be driven by institutional investors over the next 15 years. “The next 15 years, I would expect, will be a regulated institutional, high-growth period of bitcoin,” he said.

MicroStrategy shares have risen sharply since the 50-week moving average crossed above the 200-week moving average in January to form a bullish 澳洲幸运5官方开奖结果体彩网:golden cross pattern. Moreover, trading volumes have remained elevated since mid-October, coinciding with Bitcoin’s bull run ꦆover the same period. 

Although the stock climbed to a 24-year high on Monday, closing at $1,334.01, its 2021 peak at $1,315 still carries 澳洲幸运5官方开奖结果体彩网:technical significance. If the price continues its upward momentum, this level may become a new support area that market participants w🌺ant to test several times before potentially taking MicroStrategy shares higher.

MicroS𝄹trategy shares were down 7.1% at $1,240 at around 6:45 a.m. ET. Tuesday.

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