Key Highlights:

• MicroStrategy has paused its purchases of bitcoin after a 12-week streak of acquisitions.
• The company had amassed a total of 471,107 bitcoin since starting its buying spree on November 11.
• Analysts speculate that the halt may be due to an incoming earnings report, potentially signaling a blackout period for stock trading to prevent insider dealings.

Details:

MicroStrategy, now recognized as the fourth-largest holder of bitcoin, did not acquire any new tokens last week. The halt was conveyed by Executive Chairman Michael Saylor through his updates on X. This cessation marks the end of a 12-week consecutive purchasing phase where the company acquired a total of 218,887 bitcoin since November 11.

While the precise reasoning behind this pause isn’t explicitly stated, industry analysts, including James Van Straten from CoinDesk, suggest it could relate to the company’s upcoming earnings release on February 5, which typically triggers a blackout period for trading company securities in many public firms.

Given that much of MicroStrategy’s assets are in bitcoin, this period would also likely restrict any trading of cryptocurrencies.

Moreover, the company recently announced a preferred share offering aiming to raise approximately $250 million to facilitate further bitcoin purchases.