Metaplanet Buys the Dip, Jumping 14% After Announcing New Bitcoin Purchases

Earlier today, Metaplanet announced that it purchased more Bitcoin amid Bitcoin dip and volatility. Notably, its stock jumped 14% following the announcement.

Earlier today, Metaplanet announced that it had purchased more Bitcoin amid Bitcoin dip and volatility. Notably, its stock jumped 14% following the announcement.

The company bought 497 Bitcoins for a total of $43.9 million, buying them at an average price of $88,448 each, according to CEO Simon Gerovich. As of March 5, 2025, the company holds a total of 2,888 BTC, with an investment of $240.2 million. The average price the company paid for its Bitcoin is around $83,172 per coin.

Despite recent market fluctuations, Metaplanet continues to expand its Bitcoin holdings, which reflects confidence in its long-term potential as a store of value.

This purchase also comes amid recent BTC price drops and broader market volatility, which is partly influenced by Trump’s tariffs that led to a broader market decline.

Bitcoin has recovered more than 4.5% from a dip to $83,000 earlier this week. It is currently trading at $87,166. Investors hope for a continued recovery in the crypto market.

This week, the price of Bitcoin dropped to a low of $83,000, prompting massive buying activity from "whales."

According to crypto analyst Ali Martinez, since Bitcoin fell below $88,000 on February 24, whales have purchased over 20,000 BTC. This buying spree began on Monday, February 23,suggesting a coordinated effort among large investors to accumulate more coins during the recent dip.

According to reports, the "whales" appear to be averaging down their price on the way down. As the price dropped, they bought in stages, aiming to increase their holdings at lower price levels.

This observation aligns with the behavior of "whales" during previous market cycles. They typically buy the dips and sell into rallies, attempting to capitalize on price trends and maximize their returns.

Furthermore, Martinez noted that Bitcoin's Sharpe ratio is moving from "High Risk" to "Low Risk," presenting a good chance for investors to buy the dip. This transition signifies that investors are now engaging in less risky ventures, concentrating more on accumulating BTC for future gains.

In other news, Metaplanet had a strong start to 2025, with a Bitcoin yield of 45.1% year-to-date, exceeding its goal of achieving a 35% BTC yield each quarter of 2025. Its yield for the period from October 1, 2024 to December 31, 2024, was 309.8%.

As a result of this stellar performance, Metaplanet's stock has surged 16.89%, reaching 3,910 JPY. In February 2025, the stock hit a record high of 7,000 JPY but dropped almost 50% as Bitcoin prices corrected. Now, after bouncing off a support level at 3,310 JPY, the stock is back on the rise, signaling a strong reversal.