Everyone’s talking about bitcoin these days, it seems. If you’re starting to feel that FOMO, but not sure how to get your hands on some coins, you can consider getting $MSTR stock as an indirect exposure to bitcoin. If you don’t know MicroStrategy, they are a business intelligence firm that recently converted their entire treasure reserve currency from USD to BTC, in a bid to hedge off the huge inflation they see coming in the near future.
Because of that move, their share price now closely corelates to the price action of bitcoin. Here’s their 6-month price chart.
Of course, be prepared for some, no, a lot of volatility to the price of $MSTR since they are closely mirroring that of BTC.
My experience buying $MSTR
I’m not just a blogger, I’m one to walk the talk. So here’s my experience with my last 2 trades involving MicroStrategy. (Note my positions were very small due to volatility of price movements. It was also more of a proof-of-concept trade)
My first trade was made on the 29 December, and closed on the 30th December for a quick profit of $225.
My next trade was made 6 Jan at a price of $436. I placed a take profit trigger at a roughly 10% upside move at $475. Lo and behold, the price hit that and beyond, making a >10% move and triggering my take profit execution for a nice profit of $355.
Not bad returns for 2 days’ work.
Morgan Stanley buys 10% stake in MicroStrategy
Don’t just take my word for it that Microstrategy could be your proxy to Bitcoin. Even Morgan Stanley is doing it. As of today, Morgan Stanley has bought up and owns 10.9% stake in MicroStrategy.
I don’t think they bought it for their awesome BI products.