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MicroStrategy's latest acquisition: 3,000 BTC, boosting holdings to $10.3B

MicroStrategy has acquired 3,000 Bitcoin for a total of $155 million, with an average purchase price of $51,100 per coin. Currently, the company’s holdings include 193,000 coins, which have a combined value of over $10.3 billion.

This purchase cements MicroStrategy’s position as the top corporate owner of Bitcoin, with assets valued at more than $10.3 billion.

Despite the good news, there were worries about the security of MicroStrategy’s X account following a phishing attack.

A PeckShield alert screenshot reveals that the X post promoted a purported “official Ethereum token” by MicroStrategy. The post contained a deceptive link, purportedly directing users to a website for token claiming, but it was actually part of a phishing scam.

As a result of this breach, the attacker was able to take approximately $440,000. In a separate incident, Bit Forex, a Hong Kong-based cryptocurrency exchange, has become unavailable after allegedly losing $57 million from its Hot Wallets.

The exchange’s website now shows a message saying, “We apologize, but you have been blocked.”

Furtermore, the US Department of Energy has made the decision to temporarily pause their emergency assessment of energy consumption by cryptocurrency miners, following a legal action taken by both Riot platforms and an industry association.

The purpose of this suspension is to address worries about the potential impact on energy grid stability due to the growing electricity usage of crypto miners.

Drivers of market momentum

In analyzing the present trends in the market, there are multiple elements that influence the changes in value of digital assets.

It is crucial for investors to keep themselves updated by monitoring general monetary policies, economic indicators, and correlations with technology stocks in order to make well-informed choices.

The recent increase in stock prices, combined with the possibility of a decrease in interest rates, has resulted in a risk-taking atmosphere that affects both traditional and digital asset markets.

Comparison of Ether and Bitcoin performance

One notable trend that has emerged in the crypto market is the superior performance of Ether in comparison to Bitcoin.

This year, Ether has surpassed Bitcoin’s gains by 133%, largely due to expectations for the introduction of spot Ether ETFs. However, there are other factors at play as well.

The unique characteristics of Bitcoin as a digital asset similar to gold and Ether as a currency driven by technology influence how they perform in different market conditions. As the current narrative shifts towards taking on more risk, certain digital assets, such as Ether, may see greater benefits.

Two-year high reached by Bitcoin

On Tuesday, the value of Bitcoin reached its highest level in two years.

During early Asian trading, the token reached a peak of $57,036, its highest point since November 2021. This was a significant recovery from its drop below $40,000 in the first few days after the launch of US-based spot Bitcoin exchange-traded funds (ETFs) in early January.

According to analysts, the recent increase in value can be attributed to the influx of investments into ETFs. On Monday, these funds reached a record-breaking trading volume of $2.4 billion. ETFs provide a means for retail investors to indirectly own Bitcoin through exchange-traded funds.

The increase in Bitcoin’s value at the rally was also driven by the increasing attention from major market participants.

This was triggered by the announcement made on Monday by MicroStrategy, a software company with a significant investment in cryptocurrency, that it had purchased about $155 million worth of 3,000 bitcoins.

According to Coindesk, the market capitalization of Bitcoin reached $1.11 trillion due to a recent surge in the cryptocurrency’s value. In the current year, Bitcoin has seen a rise of 33.28%.

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