MicroStrategy’s addition to the Nasdaq 100 on December 23 is anticipated to pressure $2.1 billion in ETF allotment purchases, potentially bolstering its Bitcoin holdings.
Key Takeaways
- MicroStrategy is determined to affix the Nasdaq 100 Index, with an respectable announcement anticipated on December 13.
- MicroStrategy’s Nasdaq 100 inclusion would per chance pressure $2.1 billion in ETF allotment procuring.
MicroStrategy is anticipated to affix the Nasdaq 100 Index on December 23, with an respectable announcement scheduled for this Friday, December 13.
In step with Bloomberg ETF analyst James Seyffart, ETFs tracking the Nasdaq 100 are anticipated to aquire $2.1 billion worth of MicroStrategy shares, representing about 20% of the firm’s daily procuring and selling quantity.
The firm is additionally likely to bear a 0.47% weight within the Nasdaq 100, turning into the fortieth finest preserving within the index, according to ETF analyst Eric Balchunas.
Seyffart suggested that whereas becoming a member of the Nasdaq 100 is impending, inclusion within the S&P 500 will be more traumatic attributable to MicroStrategy’s lack of profitability.
On the opposite hand, an upcoming trade in accounting suggestions linked to Bitcoin valuations would per chance potentially originate the firm eligible for the S&P 500 in 2025.
This pattern comes as MicroStrategy continues its aggressive Bitcoin acquisition design.
Lawful the day earlier than this day, the firm announced the aquire of 21,550 BTC for $2.1 billion at a median place of $98,000 per Bitcoin.
This brings MicroStrategy’s total Bitcoin holdings to 423,650 BTC, valued at roughly $42 billion.
