Is Strategy Controlling Bitcoin? Looking at Liquidity Movement of MicroStrategy

In the world of cryptocurrency, few companies have made as big an impact as MicroStrategy. Under the leadership of Michael Saylor, MicroStrategy has turned its treasury strategy into a Bitcoin accumulation machine, raising questions about its influence over Bitcoin’s liquidity and price dynamics. Could one company's Strategy be powerful enough to control Bitcoin?

Read also : Bitcoin 2030 Price Targets: ARK Invest’s Bold Vision for a New Financial Order

MicroStrategy's Strategy: Buying Up Bitcoin at Unprecedented Rates

According to Adam Livingston, analyst and author of The Bitcoin Age and The Great Harvest, MicroStrategy’s aggressive Bitcoin acquisition is "synthetically halving Bitcoin." Miners currently produce around 450 BTC daily, equating to approximately 13,500 BTC monthly. 

However, MicroStrategy has reportedly purchased an astonishing 379,800 BTC over the past six months, which averages about 2,087 BTC per day  far exceeding the daily miner output.

Livingston argues that this strategy will soon make Bitcoin so scarce that accessing it will demand paying a premium. As MicroStrategy consolidates a larger portion of Bitcoin's supply, lending against Bitcoin will become costlier, and borrowing Bitcoin may become a privilege reserved for corporations and nation-states.

He further asserts, "BTC's global cost of capital will no longer be set by 'the market.' It will be set by the gravitational policies of the first Bitcoin superpower: Strategy."

Source: CryptoQuant

Can MicroStrategy's Bitcoin Strategy Drive Hyperbitcoinization?

The concept of hyperbitcoinization in a world where Bitcoin becomes a dominant global currency is no longer just theory. Crypto leaders like Cypherpunk and Blockstream CEO Adam Back predict that MicroStrategy and similar firms could drive Bitcoin’s market capitalization to $200 trillion.

Back noted, "Strategy and other treasury companies are an arbitrage of the dislocation between the Bitcoin future and today's fiat world." Essentially, companies like MicroStrategy are betting on Bitcoin’s long-term supremacy over traditional currencies.

Meanwhile, on-chain data shows a steady decline in miner reserves, indicating that fewer freshly mined Bitcoins are available on the open market. This scarcity could amplify Bitcoin's price movements, especially as more institutions adopt a Bitcoin-focused treasury model.

Is Bitcoin at Risk Due to Strategy's High Concentration?

While MicroStrategy’s bold moves are seen as visionary by many, critics warn of systemic risks. Heavy reliance on debt to finance Bitcoin acquisitions could backfire if Bitcoin enters a prolonged bear market, potentially placing MicroStrategy in financial jeopardy. Additionally, some argue that a single entity holding a significant portion of Bitcoin could introduce vulnerabilities to the decentralized ethos of the network.

However, Bitcoin experts like Saifedean Ammous believe these fears are overstated. Ammous states that even large holders like MicroStrategy and BlackRock cannot compromise Bitcoin’s core principles. Attempting to alter Bitcoin’s limited supply would only devalue their holdings, causing shareholders to divest and decentralizing the currency once again.

Thus, despite growing concerns, Bitcoin’s fundamental security appears intact — even in the face of aggressive strategies.

Read also : Is the Bull Market Here? Analyst Predicts New All-Time High in May 2025

Strategy's Liquidity Moves Signal a New Bitcoin Era

MicroStrategy’s Strategy not only affects liquidity but also the narrative surrounding Bitcoin’s role in the global financial system. The company’s actions may set the precedent for other corporations seeking financial independence through crypto assets.

As Bitcoin continues its halving cycles and institutional adoption grows, MicroStrategy’s influence could signal a tipping point toward a truly Bitcoin-dominated economy. Only time will tell if Michael Saylor’s vision will lead to unprecedented Bitcoin scarcity or if the decentralized spirit of Bitcoin will prevail over corporate accumulation.

FAQ

What is MicroStrategy's Strategy with Bitcoin?

MicroStrategy has adopted a corporate treasury strategy focused on aggressively acquiring Bitcoin. The company purchases large quantities of BTC, often exceeding the daily supply produced by miners, aiming to accumulate Bitcoin as a primary reserve asset.

How much Bitcoin has MicroStrategy purchased so far?

As of recent reports, MicroStrategy has purchased around 379,800 BTC over the last six months, significantly impacting the Bitcoin liquidity available on the open market.

Could MicroStrategy control Bitcoin through its Strategy?

While MicroStrategy holds a large amount of Bitcoin, it does not have the power to control the Bitcoin network. Bitcoin’s decentralized protocol prevents any single entity from making unilateral changes, even those with substantial holdings.