MicroStrategy shares hit a new high as Bitcoin soared to $69,000.

By Crypto Gloom On Oct 28, 2024

Key Takeaways

MicroStrategy’s stock has reached new highs, closely matching Bitcoin’s market performance.
The company holds over 252,000 BTC and influences its market strategy and valuation.

MicroStrategy (MSTR) shares hit a 25-year high at around $255 after U.S. markets opened on Monday, according to data from Yahoo Finance. This surge fueled optimism about a continued bullish trend throughout October, with the price of Bitcoin rising to $69,000.

The MSTR/BTC ratio, which tracks MicroStrategy’s stock performance against Bitcoin, also hit a new high of 0.366, according to the MSTR tracker.

This rise indicates that MicroStrategy’s stock has performed well compared to Bitcoin. As Crypto Briefing reported, the ratio hit a high of 0.354 last Friday when MSTR surged to $245.

The company’s net asset value (NAV) has grown, with the NAV premium approaching the third level, its highest level since early 2021.

Because MicroStrategy is closely tied to Bitcoin, MicroStrategy’s stock performance tends to track the Bitcoin market. The stock is up 295% year to date, outperforming the S&P 500’s 22% gain. Bitcoin itself has doubled in value over the same period.

If MicroStrategy’s Bitcoin playbook pays off, the stock could rise to new highs in the coming years.

MicroStrategy is currently the largest Bitcoin holder, holding over 252,000 BTC worth approximately $17 billion. Michael Saylor, the company’s head of Bitcoin strategy, aims to transform MicroStrategy into a leading Bitcoin bank that could reach a $1 trillion valuation.

Other cryptocurrency stocks also rebound

Several other cryptocurrency stocks also surged after the market opened.

Shares of IREN (formerly Iris Energy) rose nearly 18%, while TeraWulf and MARA Holdings rose 11% and 9%, respectively.

Leading Bitcoin mining company CleanSpark reported a 10% rise in its stock price. Meanwhile, major cryptocurrency exchange Coinbase also recorded a 5% rise.

Market optimism has been largely driven by the recent 24-hour rise in the price of Bitcoin, which has reignited discussions about the potential of an “Uptober.”

Historically, October has been a strong month for Bitcoin. Many traders and investors are looking for repeat performance. The current upward momentum appears to be consistent with historical trends, suggesting that an “Uptober” is still a possibility.