Michael Saylor goes all in on Bitcoin, says ‘There’s no reason to sell a winner’

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Michael Saylor, head of MicroStrategy, said in a recent interview with Bloomberg that the business intelligence firm will buy bitcoin “forever,” seeing it as an “exit strategy.”

According to Saylor, bitcoin is “technically superior” to gold, the S&P 500 and real estate. For context, these assets currently have a larger market capitalization than Bitcoin at over $1 trillion.

MicroStrategy was a publicly traded company when it started stocking Alpha cryptocurrency in 2020. The company's latest Bitcoin purchase was completed on February 6 this month, adding 850 Bitcoin to $37.2 million.

Saylor sees a macro-level movement of capital from traditional asset classes to Bitcoin. According to Saylor, this capital will “continue to flow” into Bitcoin.

“Bitcoin technically outperforms those asset classes. When that happens, there is no reason to sell winners to buy losers,” Salor said.

Saylor argues that Bitcoin's high demand has been largely influenced by investor demand for ETF products approved by the Securities and Exchange Commission in January. Saylor said that the position of Bitcoin ETFs “is far greater than the supply from the miners”, the supply sometimes increases by “ten times”.

Spots ETFs have opened the “gateway for institutional capital” to flow into bitcoin, according to the head of MicroStrategy. Saylor describes this trend as facilitating the “digital transformation of capital,” which transfers value from an analog ecosystem to a digital one.

Here's a critical point: given the current high market trend, it may be difficult for MicroStrategy to buy more bitcoins as demand increases. Responding to this threat, Saylor said that his company will implement a supported strategy for its investment activities.

Microstrategy is currently buying 190,000 BTC at an average price of $31,200 for a total of $5.93 billion.

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