KUALA LUMPUR, Jan 7 (Bernama) -- Bursa Malaysia’s benchmark index rebounded from earlier losses to close at its intraday high on Wednesday, gaining 0.27 per cent in late trading as buying interest returned to selected heavyweights. At 5 pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) advanced 4.48 points to 1,676.83 from Tuesday’s close of 1,672.35. The benchmark index opened 0.88 of-a-point lower at 1,671.47 and subsequently hit a low of 1,665.94 during the mid-morning session before gaining momentum toward closing. On the broader market, losers led gainers by 565 to 512, while some 526 counters were unchanged, 1,046 untraded, and 10 suspended. Turnover improved to 2.73 billion units worth RM2.76 billion versus Tuesday’s 2.66 billion units worth RM2.76 billion. Dealers said that investors were cautious following geopolitical developments in Asia.
Bitcoin Drops Below $90K, Crypto Stocks Follow
- Bitcoin fell 3.9% to $87,903 on Tuesday, touching a three-month low of $86,050.99.
- MicroStrategy (MSTR) dropped 11%, Coinbase (COIN) fell 6.4%, and Robinhood (HOOD) declined 8%, reflecting the crypto market downturn.
MicroStrategy's Latest Bitcoin Purchase Loses Value
- MicroStrategy bought 20,356 BTC for $1.99 billion last week at an average price of $97,514 per Bitcoin.
- With BTC now below $88K, this investment has already lost around $200 million in value.
- Despite this short-term drop, MicroStrategy's overall Bitcoin holdings (499,096 BTC) were acquired at an average of $66,357 per coin, still well below the current price.
- Company’s Bitcoin holdings were worth $50 billion last Friday, now down to $44 billion.
Market Volatility & Investor Impact
- The crypto selloff highlights Bitcoin’s volatility and its impact on crypto-related stocks.
- Crypto stocks like MicroStrategy, Coinbase, and Robinhood remain highly sensitive to Bitcoin price swings.
Summary:
- Bitcoin dropped to a three-month low, dragging down crypto-related stocks.
- MicroStrategy's latest Bitcoin purchase is already down $200M in value.
- Despite short-term losses, MicroStrategy’s overall Bitcoin position remains profitable.
- Crypto stocks remain highly volatile, moving in tandem with Bitcoin.
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