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Bitcoin price rises after Elon Musk said Tesla could use it again

On Monday, Bitcoin hit a two-week high, just below US$40,000 (approximately Rs 2.92 million). It was another weekend after reacting to a tweet from Tesla boss Elon Musk, and Musk resisted it. Critics of market influence and stated that Tesla sold Bitcoin but may resume trading to use it.

Since Tesla announced in February that it would purchase 1.5 billion U.S. dollars (approximately Rs 10,980 crore) in Bitcoin and stated that it would use this cryptocurrency for payment, Bitcoin has been shifting for several months. He later said that the electric car manufacturer would not accept Bitcoin because of concerns that mining this currency would require a lot of energy and cause climate change. At 12 pm Eastern Standard Time on June 14, the price of Bitcoin in India was 2.87 million rupees.

Musk said on Twitter on Sunday: “Tesla will resume allowing Bitcoin transactions when it is confirmed that miners with positive future trends are using clean energy reasonably (about 50%).”

After the news was released, Bitcoin rose by more than 9%, broke its 20-day moving average, and climbed further in Asia to reach US$39,838.92 (approximately Rs 2.91 lakh).

Bobby Ong, the co-founder of cryptocurrency analysis website CoinGecko, said: “The market went through another round of adjustments over the weekend…until Elon Musk once again accepted BTC to buy Tesla’s tweet, which changed market sentiment.”

He said that the market is also supported by software company and major Bitcoin supporter MicroStrategy raising $5 billion to buy Bitcoin.

Bitcoin has risen by about 33% this year, but due to severe crackdowns from Chinese regulators and Musk’s apparently wavering enthusiasm for Bitcoin, Bitcoin has plummeted from a record peak of over US$60,000 (approximately Rs 4.4 million). Since the company bought Bitcoin, Tesla’s stock price has fallen by about 30%.

Musk’s tweet was in response to an article based on comments by Magda Wierzycka, the head of cybersecurity company Syngia, who accused him of “price-fixing” in a radio interview last week. “And sold “a large part” of his exposure.

“This is inaccurate,” Musk said. “Tesla only sold about 10% of its shares to confirm that BTC can be easily liquidated without affecting the market.”

Musk said on Twitter in May that Tesla “will not sell any Bitcoin” and “not sell any Bitcoin”, but investors are eagerly waiting for Tesla’s next earnings release next month. Update to understand any disclosures of changes in their positions.

Musk disputed the huge computing power required to process Bitcoin transactions and in early June he published a message that seemed to lament the breakup with Bitcoin.

Other cryptocurrencies remained stable after rising over the weekend. The price of Ether was US$2,491 (approximately 180 thousand rupees). The former Musk darling Dogecoin purchased approximately 32 cents (approximately 20 rupees) on the cryptocurrency exchange Binance. ). The price of Dogecoin in India is rupee. June 14th at 23:78 pm Eastern Standard Time.

© Thomson Reuters 2021

Interested in cryptocurrency? We discussed everything about encryption on the Advertisement Shout podcast Orbital with Nischal Shetty, CEO of WazirX, and Alok Jain, founder of Weekend Investing. Orbital can be used on Apple Podcasts, Google Podcasts, Spotify, Amazon Music and wherever you get podcasts.
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