Michael Saylor, a prominent Bitcoin (BTC) advocate and president of MicroStrategy Inc., shared a chart on Saturday, March 23, comparing Bitcoin's performance with traditional assets like the S&P 500, Nasdaq, gold, silver, and bonds.
Saylor took it as an opportunity to assert Bitcoin's superiority in the investment landscape.
According to the chart, Bitcoin has grown 432% in that time, compared to 56% for the S&P 500 and 50% for the Nasdaq.
Conversely, silver and bonds performed poorly, losing 13% and 19% of their value, respectively, while gold recorded a modest gain of 7%.
“Volatility is vitality”
After Bitcoin's meteoric rise to a record high of $73,797 on March 14, the digital currency saw a subsequent decline of approximately 12%, sparking discussions within the cryptocurrency community.
Saylor, who is known for his bullish stance on Bitcoin, took to social media to share his view on the market's volatility.
In his view, volatility equals “vitality.” Volatile prices are an integral part of market dynamics, Saylor says, and he paints them as a normal phenomenon rather than a cause for concern.
Under Saylor's guidance, MicroStrategy strengthened its commitment to Bitcoin, significantly increasing its holdings.
In a recent press release, the company revealed that it acquired more than 9,000 bitcoins between March 11 and 18, funded through a combination of convertible securities offerings and the company's cash reserves.
This latest purchase follows the company's successful private placement, which raised $603.75 million.
With this influx of funds, MicroStrategy took the opportunity to bolster its Bitcoin treasury reserves, which now total approximately 214,246 BTC at an average price of $35,160 per BTC.
Peter Schiff counters
However, not everyone shares Saylor's enthusiasm for Bitcoin. Economist Peter Schiff, known for his skepticism toward cryptocurrencies, expressed concerns about Saylor's approach to bitcoin investing.
After Saylor announced MicroStrategy's latest Bitcoin purchase, Schiff warned of the high-risk nature of aggressive Bitcoin accumulation, citing the volatile nature of cryptocurrencies as a potential pitfall.
Despite Saylor's aggressive leveraged buying, Schiff noted that Bitcoin remained down 15% from its peak at the time.
He warned of further contraction in the market now that Saylor has completed his buying spree, indicating that the market could see a significant decline.
Schiff predicted potential losses for MicroStrategy, noting that if Bitcoin falls to $20,000, the company could incur losses totaling $3.25 billion, escalating to $5.5 billion if the price of the coin falls to $10,000.
