MicroStrategy shares rose by 7.4% following the news of the company being included in the Nasdaq 100 index. This move will provide the largest tech-heavy index with indirect exposure to Bitcoin, as MicroStrategy holds $44 billion worth of Bitcoin, which accounts for about 2% of the cryptocurrency’s total supply.

“ETFs like QQQ will begin purchasing MicroStrategy shares to reflect the composition of the index, leading to a rise in stock prices and enabling the company to buy more Bitcoin through bond and stock issuance,” commented Matthew Dibb, Chief Investment Officer at Astronaut Capital.

Since adopting Bitcoin as its treasury asset in 2020, MicroStrategy shares have increased by 3,200%. Despite this, the company reported a $340 million loss in the third quarter of 2024.

“This is an important milestone for the cryptocurrency market, and we are likely to hear many new opinions on MicroStrategy’s role in the industry,” Dibb added.