Also I'm not sure what this is about Microstrategy buying on leverage, were some of their previous buys on leverage? They just did a stock sale so the upcoming buy is all new money they have now and won't be on leverage.
What they actually did was issue debt notes, which cost interest to service, and which will be convertible to cash or Class A shares.
They borrowed cash to go long on leverage. This is exactly what margin traders do.
I mean obviously I expect this will be the last BTC buy they do. But a $635 million buy will certainly help keep the market high - Coinbase does their buys for them, and at $19k that'd be ~33,000 BTC.
Sure, all I'm saying is we don't know how much supply there is to absorb in this range. It may eventually outweigh the demand. It's possible that once Microstrategy and institutional buyers with similar appetite have finished buying, that excess supply still exists in this sub-$20K range. In fact, that is exactly what whales selling in this range are betting on.
Who is right? Microstrategy or the early Bitcoin adopters currently dumping on them? Stay tuned to find out.
