Elon Musk, founder of SpaceX and chief executive officer of Tesla, waves as he arrives for a discussion at the Satellite 2020 conference in Washington, DC on Monday, March 9, 2020.
Andrew Harrer | Bloomberg | Getty Images
Elon Musk, CEO of Tesla, implied in a Twitter exchange on Sunday afternoon that the electric vehicle maker might or may not sell the rest of its Bitcoin holdings, lowering the price of the cryptocurrency.
Bitcoin fell more than 5% to around $ 45,100 per coin.
A Twitter user walking past @CryptoWhale said, “Bitcoiners will beat themselves up in the next quarter if they find out Tesla dumped the rest of their holdings. With the amount of hate @elonmusk is getting, I would him do not blame … ”
Musk replied, “Indeed.”
Musk has been a huge proponent of cryptocurrencies and has helped raise the prices of digital coins, including Bitcoin, several times over the past year. In a February SEC filing, Tesla announced that it had purchased $ 1.5 billion worth of Bitcoin. The company later announced that it posted $ 101 million in net income from the sale of Bitcoin for the quarter, which helped push net income to a record high in the first quarter.
However, Musk appears to have reversed course in favor of Dogecoin, the meme-inspired cryptocurrency, in recent weeks. Tesla also “suspended the purchase of vehicles using Bitcoin” last week amid concerns about the “rapidly increasing use of fossil fuels to mine Bitcoin”. Bitcoin price fell about 5% in the first few minutes after Musk’s announcement.
A potential sale comes just days after Musk announced it would hold, not sell, the bitcoin it already had, and intends to use it for transactions once mining moves to more sustainable energy.