MicroStrategy CEO Michael Saylor Endures Twitter Backlash Over His Investment Advise As Bitcoin Price Crashes
MicroStrategy Faces Margin Call Amid BTC Price Fall: CEO Michael Saylor Endures Twitter Backlash Over His Investment Advise.
Twitter agitator wants MicroStrategy CEO Michael Saylor to go to jail for telling people to sell houses and buy BTC as Twitter is erupting over Saylor.
@Mayhem4Markets said:”Where are all the laser-eyed crypto pumpers who promised $100k Bitcoin and protection against inflation with these Ponzi coins?”
@KryptoCarm said: “They should stop gambling tax money and start investing in something productive. Hodl for life and become rich is the dumbest thing for a speculative asset. They will get rekt along with @saylor”
@MomAngtrades says: “Getting ready for a rug pull? Laser eyes will fool them for sure.”
The fall of the crypto market into the red zone is inflicting pain on investors, especially those who have been waiting for short-term gains. As for the long-term investment firms like MicroStrategy, it’s all about staying afloat and riding the wave till the storm is over. However, staying afloat means dealing with current market shifts that threaten investments.
For example, MicroStrategy has invested heavily in Bitcoin. The firm is estimated to hold over 129,000 BTC. The company was among the biggest accumulators, especially back in 2020. Currently, the BTC stash is around $30,700 each in the average buying price. That’s why the current price crash isn’t good news for the firm.
BTC Below $21k Is Bad For MicroStrategy
Back in May, as crypto prices tumbled, the company took a loan amounting to around $205 million with $820 million worth of BTC as collateral.
The price fall has seen that figure get slashed in half. In May, the company president, Phong Le, was quoted as saying that BTC’s price would have to drop by half before the firm faced a margin call. He quoted the $21k price as the ultimate point. He added that the company would accumulate more BTC and put up more collateral to prevent the margin call from happening.
Now, things have changed and BTC has fallen by half. At press time, the coin is trading around $22,700, just $1,700 shy of the point quoted by Le. At that price, MicroStrategy would need more collateral for a loan to keep it afloat or face massive liquidation of its BTC stash.
Saylor Told People To Sell Houses And Buy Bitcoin
Meanwhile, the company’s CEO, Michael Saylor, is currently facing heavy backlash on Twitter. Apparently, he’s being accused of misleading people by telling them to sell their property, including houses, to buy Bitcoin. Now, BTC has crashed and people are in the loss zone. There’s even a video of him saying as much, and the poster, Live Monitor, wants Saylor jailed for it.
Saylor in tough times updated his profile photo and shared a tweet showing he stands strong.
— Michael Saylor⚡️ (@saylor) June 13, 2022
On the other hand, the crypto market is known to be a volatile space, and investors are always advised to do their own research before committing funds to cryptos. Also, BTC has been touted as a store of value, meaning that it’s viable for long-term investment as opposed to short-term.
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