Incidentally, this isn't the first time when Michael Saylor Tweets and Peter Schiff have differed from each other with respect to their opinions on Bitcoin. They got into a similar Twitter debate last year in May too.
Bitcoin has been trading at its lowest level since December 2020, with a recent high of $22,960. MicroStrategy, which holds large amounts of cryptocurrencies, experienced an unrealized loss of more than $1 billion at that price. The cryptocurrency was trading just above that level at 2 p.m. on Monday, at $23,500, placing the company's unrealized loss at more than $900 million. MicroStrategy's stock was down 21% to $160 a share on Monday afternoon, as equities experienced a broad selloff, hurting companies associated with cryptocurrency in particular.
Fortune reported last month that MicroStrategy will face a margin call. And the $205 million loans received from Silvergate Bank would require more bitcoin collateral. If its price falls below $21,000. Microstrategy's chief financial officer Fong Le said during the company's first-quarter earnings call that the company has "quite a bit" of non-collateralized bitcoin. Which can put it in a margin call position.