Unlock stock picks and a broker-level newsfeed that powers Wall Street.

Bitcoin Surges Past $87K As Strategy Expands Holdings And Dollar Weakness Fuels Hedge Appeal

In This Article:

Benzinga and Yahoo Finance LLC may earn commission or revenue on some items through the links below.

Bitcoin (CRYPTO: BTC) jumped 3.52% on Monday to $87,348.17, extending its rebound above key resistance as institutional buying and macroeconomic tailwinds boosted sentiment across crypto markets. The coin is now up 3.9% over the last seven days and has gained 3.91% over the past month.

MicroStrategy’s $556M Purchase Cements Dominance

Bitcoin's latest leg higher coincides with a fresh round of accumulation by Strategy Inc. (NASDAQ:MSTR), which disclosed it added 6,556 BTC between April 14 and April 20 for a total of $555.8 million—paying an average of $84,785 per coin.

The purchase lifts MicroStrategy's total holdings to 538,200 BTC, valued at roughly $46.8 billion at current prices, and gives the company an average cost basis of $67,766 per coin. It now controls roughly 77% of the 700,000 BTC held by publicly traded firms, solidifying its role as the largest corporate holder of Bitcoin.

Don’t Miss:

The buy was funded through two stock sale programs, with the company issuing 1.755 million shares of Class A stock and 91,000 shares of preferred stock. Net proceeds totaled $555.5 million.

Bitcoin Breaks Out As Dollar Weakens, Inflation Fears Resurface

BTC's move above $87,000 reflects broader shifts in global macro dynamics. The U.S. Dollar Index (DXY) dropped to a three-year low of 98.00 following reports that President Donald Trump is weighing the removal of Federal Reserve Chair Jerome Powell. The political pressure on the Fed has driven speculation around interest rate cuts and helped fuel demand for safe-haven assets like Bitcoin and gold.

Gold surged to fresh all-time highs above $3,400 per ounce on Monday, and traders pointed to Bitcoin's renewed correlation with gold as a signal of its reemerging hedge narrative.

Crypto financial services firm Matrixport said, "a weaker dollar could draw renewed attention from American investors, highlighting bitcoin’s potential as a hedge against declining dollar value."

Cost-Basis Clusters Suggest $90K May Be In Play

According to Coindesk, Bitcoin could face limited overhead resistance below $90,000 due to thin supply clusters in that range. It suggests that if momentum continues, BTC could push toward new highs relatively quickly before major profit-taking sets in.