Metaplanet Expands Bitcoin Holdings with 107 BTC Purchase as Bitcoin October Rally Gains Momentum

Metaplanet, often called Asia’s MicroStrategy, announced that it was buying 107 more Bitcoin assets. The crypto market starts Q4 with a hopeful outlook. 

Investors now look forward to a possible Bitcoin rally in October, popularly named “Uptober.” Recently, the Japan-listed company has been steadily purchasing Bitcoins following Microstrategy’s approach of adding BTC to its balance sheet.

In its recent disclosure, Metaplanet revealed that it had injected an additional 1 billion Yen to make new Bitcoin purchases. At the time of the purchase, Bitcoin’s price was down by 1.32%, trading at $63,657, with a total market capitalization of $1.257 trillion.

Due to this purchase, the Japanese company’s total Bitcoin holdings have increased to over 500. It has invested a total of 4.75 billion Japanese Yen. The latest acquisition marks Metaplanet’s first Bitcoin purchase since the September Federal Reserve’s rate cut announcement. 

Right after the announcement, Metaplanet stock price jumped by 3.63%, now trading around 1,027. Year-to-date, the stock has seen impressive gains of 540%. However, it’s still down by 66% compared to its peak of 3,000 recorded in May when the company made its first-ever Bitcoin purchase.

Bitcoin ended September with nearly 8% gains, making it among the best September in the last ten years. However, the bulls couldn’t keep the price above the critical resistance level of $65,000.

Bitcoin and other cryptocurrencies took a sharp dip on Monday, shedding off weekend gains. Bohan Jiang, who leads OTC options trading at Abra, shared his thoughts about what was happening in the market.

He said the recent selling was mainly due to investors taking profits. Many people were selling their Bitcoins on exchanges to lock in their gains. At the same time, new short positions were entering the market, which added more selling pressure.

This was evident by the rise in open interest in Bitcoin within the perpetual futures market, meaning more traders were betting on the price going down.

Bitcoin Could Reach $90,000 by Year-End: Economic Factors and Historical Trends Favor a Strong Q4
The crypto space is abuzz as it ushers in Q4, which many view as a bullish season for Bitcoin and the broader crypto market. The positive macroeconomic signs, like the growing money supply and others, make Q4 more interesting.

Federal Reserve officials are considering another 50 basis point rate cut. This could significantly impact the Bitcoin market, potentially sending its price to $70,000.

Market analysis shows that October has traditionally been a favored month for various markets. Data reveals that 80% of all Octobers have recorded gains, which suggests a pattern of positive performance during this time.

80% of Octobers were green

100% of election years had a green October, November and December

100% of the years with a green September had a green October, November and December

Q4 starts TOMORROW pic.twitter.com/TQeN6CyJ4R

— Quinten | 048.eth (@QuintenFrancois) September 30, 2024

Furthermore, in election years, the last quarter of the year, October, November, and December, have shown gains 100% of the time.

Given these strong indicators, companies like Metaplanet and Microstrategy are positioning themselves to take advantage of the upcoming bull run. They are focused on building up their Bitcoin reserves before the market takes off.

As the global M2 money supply increases, Bitcoin investors become increasingly optimistic. They anticipate that this rise in money supply will drive demand for Bitcoin.

Therefore, the market could witness a rally, pushing Bitcoin’s price up to at least $90,000 by the end of the year.

Disclaimer: The opinions expressed in this article do not constitute financial advice. We encourage readers to conduct their own research and determine their own risk tolerance before making any financial decisions. Cryptocurrency is a highly volatile, high-risk asset class.

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