Callum Keown

MicroStrategy stock surged Monday as its aggressive Bitcoin bet suddenly started to look good again.

The shares jumped 13% early on the first trading day of March as crypto assets recovered. The stock slumped 24% in February, in tandem with a slump in the price of the world's largest cryptocurrency. Other crypto-related stocks were also higher: Coinbase Global jumped 5%, while Robinhood Markets was up 5.2%.

Bitcoin got a boost Sunday from President Donald Trump, who announced plans for a U.S. strategic crypto reserve. Bitcoin wasn't included in Trump's initial Truth Social post but he later clarified it "obviously" would be in the reserve. The digital asset is up 8% over the past 24 hours to $92,000, according to CoinDesk data.

It seems that MicroStrategy didn't buy Bitcoin during the dip in the price. The company revealed in a filing Monday that it didn't purchase any Bitcoin from Feb. 24 through Monday.

MicroStrategy's shares have now moved 15% or more, in either direction, for eight consecutive months, with five months of gains and three months of losses. If it wasn't for an unusually subdued 10% fall in June 2024, the streak would stand at 17 months dating back to October 2023.

The volatility has coincided with MicroStrategy's bold strategy of buying up more and more Bitcoin. Its latest weekly purchase took its holdings to 499,096 Bitcoins -- bought for $33.1 billion at an average price of $66,357 per token. Its Bitcoin hoard is worth more than $46 billion as of early Monday, up from just below $40 billion at one point last week.

How the company, which began doing business under the name Strategy last month, responded to the selloff was one big question that investors were keen to see answered. Regardless of MicroStrategy's views on the price outlook, the stock will remain intrinsically tied to Bitcoin and all the volatility associated with cryptocurrencies.

Write to Callum Keown at callum.keown@dowjones.com

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March 03, 2025 10:00 ET (15:00 GMT)

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