Bitcoin (BTC) Spikes to $23.5K although Tesla Sells 75% of its BTC Holdings
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- Tesla sold approximately 75% of its Bitcoin (BTC) holdings.
- Bitcoin recovered quickly following the recent statement about the possible introduction of the Ethereum (ETH) upgrade.
- Even though Tesla lost 75% of its Bitcoin holdings, Musk continues to endorse the DOGE meme coin.
The recent cryptocurrency market crisis has served as a wake-up call for numerous investors who were previously quite irresponsible in their Bitcoininvestment plans. The breakdown frenzy threw cryptocurrency bulls into a tailspin, causing many to exit the market. One of the key reasons for Bitcoin (BTC) rapid drop was economic insecurity in global markets. However, following the volatility and speculation, the BTC token has reached a significant price level and is progressively heading towards the $30k region.
Analysts anticipate a fresh surge in Bitcoin price, the cryptocurrency will drop to the $20,000 area before rising to the $30,000 range.
Tesla Sell-off 75% of Its Bitcoin (BTC) Holding
According to new financial documents published on Wednesday, Tesla sold approximately 75% of its Bitcoin (BTC) holdings. As a result of the conversion, the company’s digital assets are now worth $218 million as of June 30, down from $1.26 billion as of March 31.
According to the keywords, “by the end of Q2, we had approximately converted 75 percent of our Bitcoin acquisitions into fiat money.” However, the cause of this conversion was the ambiguity surrounding COVID lockdowns in China. “We liquidated many of our bitcoin assets since we didn’t know when the COVID lockdowns in China would end, so we needed to optimize our cash position,” Musk said.
He explained that this should not be taken as criticism of Bitcoin and that Tesla is open to increasing its Bitcoin investments in the future. Unfortunately, this conversion has not yet substantially influenced Bitcoin pricing. The price of one bitcoin is currently $23,084.19, with a 24-hour trading volume of $32,746,090,886. Bitcoin has increased by 4.01% in the last day.
Musk Continues to Back Dogecoin
Even though Tesla lost 75% of its Bitcoin holdings, Musk continues to endorse the DOGE meme coin. This is evident following the billionaire’s revelation that his other company, SpaceX, will take dogecoin as payment for items.
It’s worth noting that Musk’s company, The Boring Company, recently announced the option of using DOGE as payment for Loop rides. As a result, this statement aided the growth of meme currencies.
The Ethereum 2.0 Merge Underpins the Cryptocurrency Market
Bitcoin recovered quickly following the recent statement about the possible introduction of the Ethereum (ETH) upgrade. It eventually spurred a rise in the whole crypto market. This year, digital asset prices have closely tracked the stock market. With the coming inflation, the markets have struggled, intensifying investors’ concerns and pushing buyers away from the crypto market.
However, Tim Beiko’s announcement has sparked new market optimism. Ethereum has successfully aided Bitcoin’s surge, but this appears to be an issue for BTC investors. If Ethereum truly drives market progress, BTC’s market supremacy, as well as its value, may soon be lost.
