- Michael Saylor believes Bitcoin’s ($BTC) volatility is a positive attribute rather than a flaw.
- MicroStrategy’s stock soared by over 1,000% after acquiring $BTC in 2020.
- $BTC has outperformed major stock indices like the S&P 500 and Nasdaq during recent market turbulence.
$BTC’s notorious volatility raises concerns about its suitability as a store of value. Despite its growing adoption, critics widely consider it a gamble rather than an alternative to gold or fiat currencies.
MicroStrategy CEO Michael Saylor disagrees, saying that $BTC is the money of the future and that its volatility is ‘a feature, not a bug.’
Saylor – $BTC Volatility Is a Goldmine
In a recent X post, Saylor showed how MicroStrategy’s $MSTR stock soared nearly 1,000% after the company adopted $BTC as the primary treasury asset four years ago.
Saylor compared $BTC’s 408% increase with the S&P 500’s modest 59% bump and stated that ‘volatility is vitality.’ Significant price swings create opportunities for profits both on the upside and downside.
In a podcast with Altcoin Daily, Saylor noted that crypto is the only financial market that operates 24/7, which becomes particularly important in times of economic turbulence, such as the recent stock market crash.
MicroStrategy’s Bitcoin Hoarding Pays Off
In 2020, MicroStrategy invested in 21K $BTC and has been accumulating the token since. This year, the company acquired another 12.2K $BTC, bringing its $BTC portfolio to $14.7B. Saylor has also invested in $BTC personally, owning at least 17.7K tokens worth over $1B.
This move helped MicroStrategy become one of the top-performing stocks in the S&P 500 index, outpacing Nvidia, Targa Resources, and Arista Networks.
Earlier this month, Saylor revealed to Bloomberg TV that he had no plans to sell his or MicroStrategy’s $BTC holdings and was eyeing other digital currencies.
$BTC Bounces Back, Outperforms Stocks
Despite the recent market hurdles, when $BTC dropped below $50K, it has now rebounded to $59K, with a 15.72% weekly and 3.95% monthly increase.
Popular stock indices have also started to recover, but their monthly trend remains bearish:
- S&P 500 (–4.83%)
- Nasdaq (–8.99%)
- Nikkei 225 (–14.97%)
$BTC’s resilience against economic turbulence suggests that Saylor’s claims hold some truth.
Saylor’s steadfast belief in $BTC’s volatility as a positive force is evident in MicroStrategy’s performance.
While stock indices experienced significant losses, $BTC demonstrated relative strength, suggesting it might be a more stable store of value in times of economic uncertainty.
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Disclaimer: The opinions expressed in this article do not constitute financial advice. We encourage readers to conduct their own research and determine their own risk tolerance before making any financial decisions. Cryptocurrency is a highly volatile, high-risk asset class.