MSTR ETFs have demonstrated an even larger risk-on stance, as MicroStrategy stock has surged by an astonishing 110% in the past month, erupting on Wall Street.
On Wednesday, MicroStrategy stock MSTR achieved a new all-time high of $474 and ended the session at a 10.05% high, shattering record trading volumes. Furthermore, the MSTR-linked ETFs have dominated the market activity in the Bitcoin industrial complex alone, accumulating substantial trading volumes. MSTR was the second most traded stock on Wall Street, following Nvidia.
MicroStrategy’s MSTR is dominating Wall Street
In a single day, the Bitcoin Industrial Complex achieved a significant milestone by recording $50 billion in trading volume. According to Bloomberg ETF strategist Eric Balchunas, this is equivalent to the UK stock market’s average daily volume (ADV).
The company (MSTR) was the driving force behind the surge, with a trading volume of $32 billion. Consequently, the volume of all spot Bitcoin ETFs combined was surpassed by the aggregate volume of the MicroStrategy spot ETFs, T-Rex 2X Long MSTR Daily Target ETF (MSTU), and Defiance’s 2X long ETF (MSTX), which totaled $6 billion.
The MSTU share price has increased by an astonishing 906% since its inception in mid-September of this year, while the MSTX share price has increased by 743%. Concurrently, the MSTR stock price has risen by 591% year-to-date.
MSTR closed Wednesday as the second-most traded stock on Wall Street, following NVDA, due to the increased market interest that followed its recent Bitcoin acquisitions. Additionally, it defeated all of the equities in the “Magnificent 7” group, including Tesla (TSLA) and Apple (AAPL).
Bitcoin Buying Activity supports the Mega Show
MicroStrategy disclosed the acquisition of 51,780 Bitcoin for approximately $4.6 billion earlier this week, one of its most substantial recent acquisitions.
The company currently possesses 331,200 BTC, acquired at a cumulative cost of approximately $16.5 billion. This Bitcoin stash is valued at over $31 billion at the current market price. Nevertheless, the value of MSTR has surpassed $96 billion, and shareholders have received a higher premium.
Peter Schiff, a Bitcoin critic, expressed his opinion on this development in their writing:
“The higher the price of MSTR stock, the more shares Michael Saylor can sell. The more shares he sells, the more Bitcoin he can buy. The more Bitcoin he buys, the higher the Bitcoin price rises. When the price of Bitcoin goes up, the share price of MSTR goes up more. When does it end?”
Some crypto industry members criticized the hype, citing the substantial disparity between his BTC holdings and valuation.
Earlier today, the Bitcoin price surged to a new all-time high of $97,500, with enthusiasts anticipating the possibility of reaching $100K. Analysts expect that the BTC price rally will persist, potentially reaching $135,000.
