MicroStrategy’s addition to the Nasdaq 100 on December 23 is anticipated to drive $2.1 billion in ETF share purchases, probably bolstering its Bitcoin holdings.
Key Takeaways
- MicroStrategy is ready to hitch the Nasdaq 100 Index, with an official announcement anticipated on December 13.
- MicroStrategy’s Nasdaq 100 inclusion might drive $2.1 billion in ETF share shopping for.
MicroStrategy is anticipated to hitch the Nasdaq 100 Index on December 23, with an official announcement scheduled for this Friday, December 13.
Based on Bloomberg ETF analyst James Seyffart, ETFs monitoring the Nasdaq 100 are anticipated to buy $2.1 billion value of MicroStrategy shares, representing about 20% of the corporate’s every day buying and selling quantity.
The corporate can be prone to have a 0.47% weight within the Nasdaq 100, changing into the fortieth largest holding within the index, in accordance to ETF analyst Eric Balchunas.
Seyffart advised that whereas becoming a member of the Nasdaq 100 is imminent, inclusion within the S&P 500 will probably be more difficult because of MicroStrategy’s lack of profitability.
Nonetheless, an upcoming change in accounting guidelines associated to Bitcoin valuations might probably make the corporate eligible for the S&P 500 in 2025.
This growth comes as MicroStrategy continues its aggressive Bitcoin acquisition technique.
Simply yesterday, the agency introduced the acquisition of 21,550 BTC for $2.1 billion at a median value of $98,000 per Bitcoin.
This brings MicroStrategy’s whole Bitcoin holdings to 423,650 BTC, valued at roughly $42 billion.
