After Creating Major FUD, Elon Musk Confirms Tesla Hasn’t Sold Its Bitcoins, BTC Drops Under $43,000
Earlier today, Bitcoin (BTC) and the overall crypto market tanked over 10% after Elon Musk suggested that Tesla could be selling its Bitcoins anytime in the future. This led to a major FUD (fear-unrest-doubt) in the market leading to major sell-offs taking place.
Last week, Tesla announced that it is suspending Bitcoin (BTC) payments citing environmental concerns and the energy it uses for mining or transactions. Following this, Elon Musk received a lot of flak from the online community which noted that Musk managed to pump the BTC price by offering support earlier this year, and later dump it.
On Sunday evening, Twitter handle Mr. Whale mentioned: “Bitcoiners are going to slap themselves next quarter when they find out Tesla dumped the rest of their #Bitcoin holdings. With the amount of hate @elonmusk is getting, I wouldn’t blame him…”
Responding to it, Musk wrote “Indeed”. Well this was enough to get the BTC price crashing under $43,000 and the reducing the Bitcoin market dominance to a low 40% for the first time I three years.
However, Musk didn’t stop here and said that he thinks Bitcoin is “highly centralized” since it has been controlled by a handful of crypto mining companies. Musk tweeted: “Bitcoin is actually highly centralized, with supermajority controlled by handful of big mining (aka hashing) companies. A single coal mine in Xinjiang flooded, almost killing miners, and Bitcoin hash rate dropped 35%. Sound “decentralized” to you?”
After a few hours of market speculation and FUD, Musk has finally confirmed that’s Tesla hasn’t sold any of its Bitcoins yet. This has certainly helped in a way to ease off the selling pressure. However, it certainly doesn’t mean Tesla won’t be selling it anytime in the near future.
Musk’s playing around with Bitcoin hasn’t gone well with the community. On the other hand, Elon Musk has been aggressively pushing the meme-coin Dogecoin (DOGE). Last week, the Tesla chief said that he’s working with Dogecoin developers to improve the system efficiency.
Doubling down further on his DOGE bet, Elon Musk acknowledged that Dogecoin is better than Bitcoin. He wrote: “Doge speeds up block time 10X, increases block size 10X & drops fee 100X. Then it wins hands down. 100X higher transaction volume with 100X lower fees means total fees earned stay same. Low fees & high volume are needed to become currency of Earth”.
Elon Musk’s ability to single-handedly drive the crypto markets in any direction is well-known and was seen once again.