Can Bears Force Michael Saylor To Sell His Bitcoin? Analyst Shared Bullish

[Tunir Baap]

In May, an alleged “insider” claimed that a group of Bitcoin Whales were trying to get a series of positions liquidated from a big player. Justin Sun, founder of blockchain TRON, and Michael Saylor, CEO of software company MicroStrategy, were the top 2 suspect targets.

The rumor has extended as Saylor announced new BTC purchases and issued more debt for the company to expand its BTC holdings. As it was reported recently, the company will use $1.6 billion obtained via a debt instrument to buy more Bitcoin.

With the cryptocurrency losing over 50% of its value in over a month, many wonder what will happen if the downtrends continue, will MicroStrategy’s position be compromised?

Anonymous analyst “degentrading” tackled this “Saylor Fud” and claims that the executive’s and his company’s situation is “not as dire”. The analyst said:

The latest bond issuance will only be senior secured on the BTC that he plans to accumulate on the proceeds from this issuance. I.E – Even if this 400M bid fails to support the market and there is liquidation – the 92,079 of BTC held will NOT be at risk.

The analyst went more in-depth on MicroStrategy’s capital structure. The company has 2 outstanding bonds to be mature by 2025 and 2027. The former has a 0.75% interest and the other has none, as seen below.more

[TomPluz]

It would be exciting to watch which of the big players will come out as big winners once the dip will finally be gone, and we are already on the path to new ATH. Of course, there is no guarantee in a free market and anything can go wrong as to the direction that Bitcoin can be heading to - we can only wish and even pray that it can go north. Right now, there are still many whales who remain so positive on Bitcoin, and they know that they are carrying the burden with their decisions to get heavily involved with Bitcoin at the time when it is still not so stable - but then again isn't the dip the best to buy Bitcoin?