Bitcoin News Today: MicroStrategy Boosts Bitcoin Purchases to $2B, Shares Surge 26% on Aggressive Strategy

MicroStrategy Inc. has announced a significant expansion of its Bitcoin purchasing strategy, raising its allocated capital from $500 million to $2 billion in a move that underscores its aggressive stance on digital assets [1]. The company reported acquiring 6,220 Bitcoin worth $739.8 million between July 14-20, 2025, increasing its total holdings to 275,126 BTC. CEO Michael Saylor described the initiative as part of a "capital flywheel" designed to convert market premiums into Bitcoin-per-share growth, leveraging the asset’s volatility to accelerate ownership while enhancing shareholder value [1]. This follows a prior $543.8 million purchase of 4,225 BTC on July 3, 2025 [2], reinforcing the firm’s position as the largest institutional Bitcoin holder, with a strategy now valued at $84 billion in market capitalization [6].

The company’s stock has mirrored Bitcoin’s price swings, experiencing a 26% single-day gain from a put option trade on July 21 and a 4.27% decline on July 1 amid legal uncertainties [3][4]. Analysts have highlighted a historical correlation between MicroStrategy’s shares and Bitcoin, noting that during a recent market pullback, the stock moved approximately three times the cryptocurrency’s weekly performance [5]. This dynamic reflects the speculative nature of Saylor’s approach, which blends traditional treasury management with high-risk exposure to a volatile asset class.

Saylor’s strategy has drawn both admiration and scrutiny. Proponents view the purchases as a strategic reserve allocation akin to corporate gold holdings, while critics question the sustainability of the model amid regulatory pressures and macroeconomic headwinds. The firm’s legal challenges and stock price fluctuations—trading within a 52-week range of $102.40 to $543.40—highlight the polarized investor sentiment [4]. Despite these risks, MicroStrategy’s Bitcoin treasury has become a focal point for discussions on institutional adoption, with the company’s actions influencing broader market perceptions of digital assets as corporate reserves [1].

The decision to scale Bitcoin purchases to $2 billion represents a pivotal moment in the firm’s trajectory, balancing long-term conviction in the asset with immediate operational challenges. As the company navigates legal and regulatory landscapes, its ability to execute the "flywheel" concept will depend on sustained Bitcoin premiums and market acceptance of its unconventional treasury strategy [1].

Source:

[1] [MicroStrategy Makes Aggressive Move as Trump Signs Landmark Bill](http://www.msn.com/en-us/money/other/microstrategy-makes-aggressive-move-as-trump-signs-landmark-bill/ar-AA1IZWuC?apiversion=v2&batchservertelemetry=1&domshim=1&noservercache=1&noservertelemetry=1&ocid=finance-verthp-feeds&renderwebcomponents=1&wcseo=1)

[2] [Is It Too Late To Buy MicroStrategy Stock Now After](https://www.forbes.com/sites/investor-hub/article/is-it-too-late-buy-microstrategy-mstr-stock/)

[3] [MicroStrategy's Bold Bitcoin Strategy](https://www.okx.com/en-us/learn/microstrategy-bitcoin-strategy-corporate-treasury)

[4] [Microstrategy Plunges 4.27% Amid Legal Storm](https://www.ainvest.com/news/microstrategy-plunges-2-46-reversal-fortune-bearish-breakout-2507/)

[5] [Any reason why mstr is falling? Novice investor here](https://www.facebook.com/groups/250968057873111/posts/7816154****8362/)

[6] [Strategy: The $84 Billion Bitcoin Flywheel](https://seekingalpha.com/article/4803538-strategy-84-billion-bitcoin-flywheel?feed_item_type=article&utm_medium=referral&utm_source=cryptocompare.com)