Bitwise CIO: The Purchase of Bitcoin by Companies like MicroStrategy Is a "Overlooked Major Trend"

BlockBeats News, January 14th, Bitwise Chief Investment Officer Matt Hougan outlined why he believes companies like MicroStrategy buying Bitcoin is a "massive overlooked trend."

In a report to clients on Tuesday, Hougan wrote, "This is a bigger trend than most people appreciate. In fact, I believe it is a truly massive trend. Over the next 12 to 18 months, we will see hundreds of companies buying Bitcoin for their treasury reserves, and their buying will dramatically boost the entire Bitcoin market."

Since launching its Bitcoin acquisition program in 2020, MicroStrategy has purchased 450,000 bitcoins worth over $43 billion, with the latest 2,530 bitcoins announced on Monday. For context, MicroStrategy holds about 2.1% of the total Bitcoin supply (21 million bitcoins).

Hougan noted that the scale of MicroStrategy is much larger than people realize. Despite MicroStrategy currently being ranked 220th in global market cap, by 2024 alone, it had purchased around 257,000 bitcoins—more than the total bitcoins mined that year of 218,829.