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Metaplanet Reaffirms Bitcoin Buying Strategy Despite Market Decline

Highlights:

  • Metaplanet confirms it will keep aggressively buying Bitcoin despite heavy market losses. 
  • Bitcoin tumbled to $60,000 in early Asian trading before recovering to around $63,000.
  • Strategy and Metaplanet remain committed to accumulation while investors face heavy stock losses.

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The Bitcoin markets have been rocked once again as prices fell to $60,000 during the early Asian trading hours on Friday before recovering slightly to the $63,000 level. This sharp fall has resulted in institutional investors losing billions of dollars, and large corporate investors are also facing heavy losses. Metaplanet, a Bitcoin treasury management company, has confirmed that it will continue to increase its Bitcoin holdings despite the fall.

Metaplanet Stays Committed Despite Market Turmoil

Chief Executive Simon Gerovich stated in a post on X that the company’s strategy remains unchanged. “We are fully aware that, given the recent stock price trends, our shareholders continue to face a challenging situation,” he said. “However, there is no change to Metaplanet’s strategy. We will steadily continue to accumulate Bitcoin, expand revenue, and prepare for the next phase of growth.”

The company’s stock, however, has not been immune to the market turbulence. Shares fell about 8% at the start of trading, reflecting millions in unrealized losses tied to its Bitcoin reserves. In the last quarter of the previous year, Metaplanet bought $451 million worth of Bitcoin, bringing its total to 35,102 BTC. Bitcoin Treasuries data shows the average price was $107,716 per coin.

Although Metaplanet continues to acquire, Strategy, the biggest corporate Bitcoin investor, posted a net loss of $12.6 billion for Q4. Its Bitcoins, which it acquired at an average price of $76,052, are down by more than 13%. According to CEO Michael Saylor, there is no risk of liquidation unless Bitcoin falls to $8,000. Metaplanet intends to raise $137 million through common shares and stock acquisition rights. This move is intended to increase reserves and reduce debt. This news made its stock decline by more than 3.5% that day.

Bitcoin Slides Amid Market Fear and Heavy Liquidations

At the time of writing, BTC was trading at $66,269, reflecting a 6% decrease in the past 24 hours. It is about 50% below its all-time high of $126,080 from October last year. Market sentiment is weak, with the Crypto Fear & Greed Index at its lowest level since the Terra Luna collapse. The market has also experienced heavy liquidations. Coinglass reported that $2.03 billion in long positions were wiped out on Thursday alone, which shows how traders are struggling with the volatility.

Michael Burry, founder of Scion Asset Management, added caution. On Thursday, he shared a chart on X comparing the current pullback with the 2021–2022 crash, when Bitcoin fell from about $35,000 to below $20,000.

Burry pointed out similarities between that cycle and the recent drop from October’s peak of $126,000 to nearly $70,000. He suggested Bitcoin could fall further, possibly into the low $50,000s, before stabilizing. His warning sparked debate among investors over whether the coin is repeating its past pattern.

Even with such heavy losses, Strategy and Metaplanet are still sticking to their long-term accumulation strategy. This is quite contrary to the market sentiment, which has turned negative. The shareholders of Strategy and Metaplanet are witnessing a sharp fall in their stocks, but the management is of the opinion that this is a temporary phase.

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