Metaplanet Buys Record 620 Bitcoin as XRP Leads Broader Crypto Market Decline
Despite Tokyo-listed Metaplanet (3350) making its largest-ever Bitcoin acquisition, market sentiment remained bearish as Bitcoin (BTC) faced its first seven-day losing streak since early November.
The company announced it had purchased 619.70 BTC for 9.5 billion yen ($61 million), increasing its Bitcoin reserves by 54%. However, the bold acquisition failed to reverse Bitcoin’s downward trend, with BTC falling 1.5% in the past 24 hours, according to CoinGecko. Leading altcoins, including Ether (ETH), Cardano (ADA), Solana (SOL), and Dogecoin (DOGE), also posted losses of up to 2%, while Chainlink (LINK) and Tron (TRX) managed small gains. The CoinDesk 20 (CD20) Index dropped by 1.39%.
With this purchase, Metaplanet’s total Bitcoin holdings now stand at 1,762 BTC, acquired at an average price of 11.85 million yen per BTC for a total investment of 20.87 billion yen ($133.2 million). The company reported an impressive BTC yield of 309.82% between October 1 and December 23, compared to 41.7% in the previous quarter.
Since adopting its Bitcoin strategy in April, Metaplanet has used creative financial mechanisms to fund its acquisitions. On December 20, the company issued a 5th Series of Ordinary Bonds to EVO FUND, valued at 5.0 billion yen. These zero-coupon bonds, maturing on June 16, 2025, include an option for early redemption tied to stock acquisition rights.
In total, Metaplanet has executed 19 Bitcoin purchases using a mix of capital market activities and operating income. The company’s stock has soared by 2,100% this year, cementing its position as the 15th-largest publicly traded Bitcoin holder worldwide.
Analysts Predict Short-Term Volatility
Analysts remain cautious about the short-term outlook for Bitcoin and broader crypto markets as the holiday season approaches.
“The Federal Reserve’s hawkish stance continues to weigh on investor sentiment, with many locking in profits after a strong year,” said Alex Kuptsikevich, Chief Market Analyst at FxPro, in an email to CoinDesk.
Kuptsikevich observed that Bitcoin is currently trading near $95,500, finding support around the 50-day moving average. While the recent dip was anticipated, he warned against assuming the correction is over.
**“Further drops in equity markets could accelerate Bitcoin and Ethereum’s decline, especially with institutional investors likely to react quickly. Additionally, thin holiday liquidity may amplify price volatility, potentially driving BTC toward the $70,000 range,” he explained. However, he noted that the $90,000 level could act as a key psychological support point where buyers might step in to stabilize prices.
