MSTR Stock Price Increases Over 5% Pre-Market: Why It Happened

By Amit Chowdhry ● Aug 9, 2021
  • The stock price of MicroStrategy (Nasdaq: MSTR) increased by over 5% pre-market. This is why it happened.

The stock price of MicroStrategy (Nasdaq: MSTR) increased by over 5% pre-market. There are not any company-specific reports driving the stock price up today so it appears there are external factors at play.

Investors in stock trading platforms are citing the momentum in cryptocurrencies as being the driving force for the stock price increase. The price of the Bitcoin cryptocurrency is up more than 9% over the past week. And Ethereum is up more than 12% over the past week. 

As of June 30, 2021, the carrying value of MicroStrategy’s digital assets (comprised of approximately 105,085 bitcoins) was $2.051 billion — which reflects cumulative impairment losses of $689.6 million since acquisition and an average carrying amount per bitcoin of approximately $19,518. And as of June 30, 2021, the non-GAAP digital asset cost basis and non-GAAP calculation of the market value of MicroStrategy’s bitcoin were $2.741 billion and $3.653 billion, respectively, which reflects an average cost per bitcoin of approximately $26,080 and a market price per bitcoin of $34,763.47. MacroStrategy LLC, a subsidiary of MicroStrategy, holds about 92,079 of the bitcoins.

MicroStrategy recently announced that it will present at the Canaccord Growth Conference on Thursday, August 12, 2021, at 2:00 p.m. Eastern Time.

Disclaimer: This content is intended for informational purposes. Before making any investment, you should do your own analysis.