MicroStrategy Adjusts Bitcoin Strategy Amid Sale Concerns
MicroStrategy, known as the largest corporate holder of Bitcoin (BTC), recently withdrew 411.5 BTC from Coinbase Prime just hours after depositing it. This quick reversal eased worries that the company, led by Michael Saylor, might sell its Bitcoin for the first time in several years.
On the same day, Bitmine Immersion Technologies, led by Tom Lee, purchased 25,000 Ethereum (ETH) for $50.6 million, further strengthening one of the largest corporate ETH collection efforts in the market.
MicroStrategy Cancels Coinbase Prime Deposit
On-chain activity indicated that MicroStrategy’s deposit was its first direct exchange transaction in almost two years.
The transfer was executed in two batches of roughly 205 BTC, along with several smaller wallet transactions taking place simultaneously.
This week, Saylor hinted that the company might sell some Bitcoin before the year ends, citing needs for dividends and capital. This announcement had a measurable impact on market predictions even prior to the Coinbase Prime withdrawal.
Initially, predictions indicated that there was over a 90% chance MicroStrategy would sell Bitcoin by 2026. After the withdrawal, those odds did drop somewhat but still remained significant.
“Has Michael Saylor’s Strategy canceled the BTC sale? Strategy withdrew 411.5 BTC ($30.2 million) from Coinbase Prime 5 hours ago,” Lookonchain raised the question.
Bitcoin is currently priced around $73,532, which suggests that any broader impact from Bitcoin’s volatility will be minimal.
The company still holds 843,738 BTC, valued at over $62 billion. Interestingly, it hasn’t made any new Bitcoin purchases since May 18th, marking its longest stretch without adding to its holdings amid a slowdown in corporate demand for Bitcoin bonds.
BitMine Doubles Down on Ethereum Amid Price Slump
BitMine capitalized on a price drop below $2,100 to expand its ETH holdings to approximately 5.39 million ETH, accounting for about 4.47% of total supply. This figure is close to Tom Lee’s goal of 5% for the year.
“Tom Lee’s Bitmine purchased an additional 25,000 ETH ($50.56 million) six hours ago,” noted Lookonchain.
The firm has staked over 4.7 million ETH through the Made in America Validator network, yielding an annual return of about $276 million. Currently, Ether is valued around $2,011, having experienced a 10% drop over the last month.
Lee views the current market weakness as an opportunity, pointing to the growing role of tokenization and increasing computational demands from AI.
Support from investment firms like ARK Invest and Founders Fund continues, even with BitMine facing unrealized losses, as its stock trades below its net asset value.
However, amid BitMine’s Ethereum accumulation, older wallets have been offloading assets, with some exchanging $112 million worth of ETH recently.
“Ethereum OG is dumping ETH! Over the past week, Ethereum OG sold 55,000 ETH ($112.25 million) and 9,442 wstETH ($24 million) at an average price of $2,041 per ETH,” an on-chain analytics account reported.
