MicroStrategy (MSTR) has gained 355% in the past year and is up over 2,178% since the company started to invest heavily in Bitcoin (BTCUSD). After turning its fortunes around, MicroStrategy is now essentially a leveraged bet on the leading cryptocurrency. Of course, bears argue that this isn’t a healthy strategy, as MicroStrategy is piling all its eggs into one basket. That said, the company’s average purchase price of $62,473 per BTC is well below the current price, so bulls are confident that it is a healthy long-term play.
Only time will tell if this will be sustainable for MicroStrategy. And if we see a broader market correction this year, both MSTR and the penny stocks trying to follow in its footsteps it could get crushed. But if you are a believer that Bitcoin will continue to gain exponentially over the coming years and decades, there’s a good chance that other companies replicating MicroStrategy’s Bitcoin-buying strategy could also replicate its gains. Let’s look into two such penny stocks.
