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Strategy Inc.(NASDAQ:MSTR) CEO Phong Le defended on Tuesday the company’s decision to sell Bitcoin(CRYPTO: BTC) at lower price levels and later acquire it at higher prices.
Strategy Defends Corporate Moves
During an interview with Bloomberg Television, Le was asked about the firm’s decision to sell Bitcoin when it was in the $60,000 to $65,000 range and then buy when it reached $80,000.
“We don’t really make decisions on Bitcoin specific to the Bitcoin price,” Le responded. “By strengthening our balance sheet, we actually have strengthened our equity value, which makes it more profitable to sell MSTR and buy Bitcoin.”
Le further stated that the company does not regret selling Bitcoin at the $60,000 mark a few months ago.
“It was the right trade at the time to sell Bitcoin to fund some of our stretch dividends. It’s the right trade at this point in time to sell MSTR at a premium to buy Bitcoin,” he added.
‘Pretty Heavy Bull Market’ Approaching?
Le said he doesn’t “foresee” the firm selling Bitcoin as they enter what he considers a “pretty heavy bull market.”
“We’ll be buying Bitcoin at 80,000. We’ll likely be buying Bitcoin at 90 at 100. And when Bitcoin hits 130,000 at an all-time high, we’ll be buying it,” the top executive said.
Strategy Resuming BTC Purchases a Bullish Signal?
Strategy ended a two-month buying drought after acquiring 4,603 BTC at an average price of $80,318 per coin.
Between June 29 and Aug. 23, Strategy paused Bitcoin buying entirely and focused on cleaning up its balance sheet, which included the sale of Bitcoin worth $429 million.
Saylor had earlier advised investors to take a long-term approach to Bitcoin and refrain from investing unless they plan to hold it for at least four years.
Price Action: At the time of writing, BTC was exchanging hands at $77,466, down 1.82% in the last 24 hours, according to data from Benzinga Pro.
Strategy shares fell 1.43% in Wednesday’s pre-market trading after closing 6.06% lower at $124.88 during Tuesday’s regular trading session.
Benzinga’s Edge Stock Rankings indicate that MSTR maintains a stronger price trend across short- and medium-term horizons, but lags in the longer term.
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Source: www.benzinga.com