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MicroStrategy upsizes its note sale to $2.6 billion to fund Bitcoin purchases, boosting confidence in BTC’s price reaching the $100,000 milestone.
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MicroStrategy, the largest corporate holder of Bitcoin, announced it had increased its upcoming note sale to $2.6 billion, signaling bullish expectations for Bitcoin’s potential to surpass the $100,000 mark.
MicroStrategy, the largest corporate Bitcoin (BTC) holder, is set to raise $2.6 billion from senior convertible notes at a 0% interest rate to buy more BTC.
The note sale was upsized from the previously announced offering of $1.75 billion aggregate principal amount of notes, the firm shared in a Nov. 20 announcement.
The $2.6 billion offering targets “qualified institutional buyers” and is expected to close on Nov. 21, 2024, subject to satisfaction of customary closing conditions.
BTC/USD, 1-month chart. Source: Cointelegraph
MicroStrategy’s note sale could help push Bitcoin price above the $100,000 mark for the first time in history. The announcement comes as Bitcoin is trading above $93,970 as of 1:30 pm UTC, up over 37% during the past month, Cointelegraph data shows.
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MicroStrategy’s $2.5 billion note sale and ETFs could push Bitcoin price to $100,000 in November
MicroStrategy estimates that the sale will raise approximately $2.58 billion or up to $2.97 billion if the initial purchasers purchase the maximum amount of additional notes.
The firm said it intends to use the over $2.5 billion to “acquire additional Bitcoin and for general corporate purposes.”
The capital could help push Bitcoin price above the new $100,000 high, which is currently just over 6% away for the price of the world’s first cryptocurrency.
Some analysts expect Bitcoin to reach $100,000 before the end of the month, including Ryan Lee, chief analyst at Bitget Research, who told Cointelegraph:
“If history repeats itself and Bitcoin prices grow as projected, a 14.7% from the current price level will push the coin well above the $100,000 target for the month. The post-halving cycle trend is also very positive when projecting the future of Bitcoin.”
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Positive Bitcoin exchange-traded fund (ETF) inflows are also supporting Bitcoin’s rally. On Nov. 19, the US spot Bitcoin ETFs recorded over $816 million worth of cumulative net inflows, Farside Investors data shows.
Bitcoin ETF Flow (USD, million) Source: Farside Investors
The US Bitcoin ETFs recorded their sixth consecutive week of net positive inflows after amassing over $1.67 billion in the trading week of Nov. 11–15.
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This article first appeared at Cointelegraph.com News
