It appears that Elon Musk has sent bitcoin into freefall on Sunday, after he gave rise to speculation via a twitter exchange that Tesla may potentially sell (or has already sold) its cryptocurrency holdings.
“Bitcoiners are going to slap themselves next quarter when they find out Tesla dumped the rest of their #Bitcoin holdings,” said one twitter user on Sunday. “With the amount of hate @elonmusk is getting, I wouldn’t blame him,” the user added. To this, Tesla CEO Musk responded with one word: “Indeed.”
The single tweet caused an unusual fluctuation in the price of bitcoin, which fell nearly 8.5% afterwards to a low of around $42,441 on Monday, marking the sharpest slump in over three months. Bitcoin’s price has since rebounded after Musk addressed the speculation, tweeting that “Tesla has not sold any bitcoin.”
Last week, Musk sent the price of bitcoin in a downward spiral, after taking to twitter to unexpectedly exclaim that Tesla will no longer accept bitcoin as payment due to environmental concerns tied to the cryptocurrency’s mining. Although he said that Tesla does not have any immediate plans to liquidate its bitcoin holdings, he did note that the company may consider other cryptocurrencies that are less energy-intensive.
Information for this briefing was found via Twitter. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.