news4global
  • Home
  • Bitcoin
  • Blockchain
  • Business
  • Latest news
  • Market
  • Regulation
  • VideosHot
    Bitcoin At MAJOR Crossroads (IS BTC PRICE ABOUT TO CRASH?)

    Bitcoin At MAJOR Crossroads (IS BTC PRICE ABOUT TO CRASH?)

    Could the FIRST Cryptocurrency Pre Sale Altcoin of 2023 EXPLODE?

    Could the FIRST Cryptocurrency Pre Sale Altcoin of 2023 EXPLODE?

    ये Coins कर सकते बर्बाद ‼️  Solana Bad news | 30 दिसंबर को बड़ी हलचल | Cryptocurrency | crypto news

    ये Coins कर सकते बर्बाद ‼️ Solana Bad news | 30 दिसंबर को बड़ी हलचल | Cryptocurrency | crypto news

    Quant QNT Price News Today Technical Analysis – Price Now! Quant Price Prediction 2022

    Quant QNT Price News Today Technical Analysis – Price Now! Quant Price Prediction 2022

    🔥 100X POTENTIAL? 🔥 LONG TERM BNB PRICE PREDICTION – Crypto News Today

    🔥 100X POTENTIAL? 🔥 LONG TERM BNB PRICE PREDICTION – Crypto News Today

    Gravitas: Cryptocurrency: New tool for money laundering

    Gravitas: Cryptocurrency: New tool for money laundering

    Last Chance to Buy Ada (Cardano) || Ada (Cardano) Price Prediction || Ada News Today || Ada Update

    Last Chance to Buy Ada (Cardano) || Ada (Cardano) Price Prediction || Ada News Today || Ada Update

    20/12/2022 Cryptocurrency Tamil news today | Shiba inu coin news | luna crypto news | Bitcoin Tamil

    20/12/2022 Cryptocurrency Tamil news today | Shiba inu coin news | luna crypto news | Bitcoin Tamil

    🚀Binance ने Cryptowalo को Goodnews दी ✅️🚀| Cryptocurrency | Shiba inu news today

    🚀Binance ने Cryptowalo को Goodnews दी ✅️🚀| Cryptocurrency | Shiba inu news today

No Result
View All Result
  • Home
  • Bitcoin
  • Blockchain
  • Business
  • Latest news
  • Market
  • Regulation
  • VideosHot
    Bitcoin At MAJOR Crossroads (IS BTC PRICE ABOUT TO CRASH?)

    Bitcoin At MAJOR Crossroads (IS BTC PRICE ABOUT TO CRASH?)

    Could the FIRST Cryptocurrency Pre Sale Altcoin of 2023 EXPLODE?

    Could the FIRST Cryptocurrency Pre Sale Altcoin of 2023 EXPLODE?

    ये Coins कर सकते बर्बाद ‼️  Solana Bad news | 30 दिसंबर को बड़ी हलचल | Cryptocurrency | crypto news

    ये Coins कर सकते बर्बाद ‼️ Solana Bad news | 30 दिसंबर को बड़ी हलचल | Cryptocurrency | crypto news

    Quant QNT Price News Today Technical Analysis – Price Now! Quant Price Prediction 2022

    Quant QNT Price News Today Technical Analysis – Price Now! Quant Price Prediction 2022

    🔥 100X POTENTIAL? 🔥 LONG TERM BNB PRICE PREDICTION – Crypto News Today

    🔥 100X POTENTIAL? 🔥 LONG TERM BNB PRICE PREDICTION – Crypto News Today

    Gravitas: Cryptocurrency: New tool for money laundering

    Gravitas: Cryptocurrency: New tool for money laundering

    Last Chance to Buy Ada (Cardano) || Ada (Cardano) Price Prediction || Ada News Today || Ada Update

    Last Chance to Buy Ada (Cardano) || Ada (Cardano) Price Prediction || Ada News Today || Ada Update

    20/12/2022 Cryptocurrency Tamil news today | Shiba inu coin news | luna crypto news | Bitcoin Tamil

    20/12/2022 Cryptocurrency Tamil news today | Shiba inu coin news | luna crypto news | Bitcoin Tamil

    🚀Binance ने Cryptowalo को Goodnews दी ✅️🚀| Cryptocurrency | Shiba inu news today

    🚀Binance ने Cryptowalo को Goodnews दी ✅️🚀| Cryptocurrency | Shiba inu news today

No Result
View All Result
news4global
No Result
View All Result
Home Business

What Tesla’s Massive Bitcoin Selloff Means for Investors

July 21, 2022
Reading Time: 5 mins read
0
Bitcoin Dips Below 19K. What Does This Mean for the Coin?
189
SHARES
1.5k
VIEWS
Share on FacebookShare on Twitter

Related articles

Bitcoin pro traders warm up the $24K level, suggesting that the current BTC rally has legs – Cointelegraph

Crypto ATM Operator Cash Cloud Files for Bankruptcy – PYMNTS.com

February 9, 2023
Bitcoin pro traders warm up the $24K level, suggesting that the current BTC rally has legs – Cointelegraph

Dubai’s Crypto Regulator Announces Increase In Resources To Handle New Applications – ABP Live

February 8, 2023

Image source: Getty Images

Tesla said in its recent earnings statement that it had sold 75% of its Bitcoin. The electric car maker has been hard hit by COVID-19 lockdowns in China. It said the ongoing uncertainty meant it needed to maximize its cash holdings, and assured investors that the sell-off was not a reflection of its views on Bitcoin (BTC). Bitcoin fell around 3% following the news, but is still up over 11% in the past seven days, according to CoinMarketCap data.

Tesla and Bitcoin

Tesla has a mixed relationship with cryptocurrency. Its CEO and founder, Elon Musk, is an active crypto enthusiast who regularly tweets about cryptocurrency, particularly his favorite token, Dogecoin (DOGE).

Tesla bought $1.5 billion worth of Bitcoin in early 2021, and sold 10% of its holdings in the following few months. It also announced it would accept Bitcoin payments, a decision that played a significant role in the subsequent crypto rally. However, in May 2021, Tesla changed its stance. It said it would suspend Bitcoin payments due to environmental concerns. This was one of the reasons for 2021’s first major crypto price drop. At the time, Musk said there was no plan to sell its Bitcoin holdings.

It’s worth noting that cryptocurrency is not Tesla’s main business. Indeed, many would argue that the heavy environmental cost of mining Bitcoin is actually at odds with Tesla’s values of sustainability. During Tesla’s earnings call, Musk said: “Tesla’s goal is to accelerate the advent of sustainable energy. We’re not really — cryptocurrency is a sideshow to the sideshow.”

What it means for investors

Tesla’s decision to sell has not had a huge impact on Bitcoin’s price. The news did stop a very tentative rally — the lead crypto briefly topped $24,000 for the first time in over two months. But unlike other Tesla and Musk moves, the reaction to Tesla’s sell-off was relatively muted.

There are two potential reasons for this. First, the sell-off has already happened. In its earnings statement, Tesla said, “As of the end of Q2, we have converted approximately 75% of our Bitcoin purchases into fiat currency.” It will have an impact on market sentiment, but we’re not about to see a $1 billion BTC selloff in the coming weeks.

Second, it doesn’t reflect a loss of confidence in crypto on Tesla’s part. The recent crypto crash has shaken many investors’ beliefs in the long-term potential of the industry, but that’s not why Tesla says it sold. “We are certainly open to increasing our Bitcoin holdings in future, so this should not be taken as some verdict on Bitcoin,” said Musk in the company’s earnings call. He added, “It’s just that we were concerned about overall liquidity for the company, given COVID shutdowns in China.”

Moreover, Tesla says it sold the Bitcoin for a realized gain. This may interest other companies considering adding Bitcoin to their balance sheets. (However, Tesla is now underwater on the other Bitcoin it holds.) Nevertheless, there’s some reassurance in the fact that Tesla was able to liquidate over $1 billion worth of BTC without incurring major losses in spite of the dramatic drop in crypto prices.

Bottom line

In recent years, Tesla and Musk have had an outsized impact on cryptocurrency prices. But the news that Tesla has already sold a large proportion of its crypto is only a blip on the charts compared with other issues at play. Not only has the industry matured in the past 18 months, but crypto is weathering far more significant storms.

The world is grappling with spiraling inflation, a potential energy crisis, and fears of a recession. Crypto markets are reeling from the failure of several well-known platforms and companies, and there’s concern about the impact of increased regulation. Many crypto investors are braced for more bad news, but it’s unlikely to come from Tesla or Elon Musk.

Earn a $50 bitcoin bonus

Our updated list of the best cryptocurrency apps for 2022 is packed with best-in-class picks. The cryptocurrency apps that landed on our shortlist include perks such as $0 commissions, and one pick that is offering a $50 bitcoin bonus. Check out the list here and get started on your crypto journey, today.

Get the top picks

We’re firm believers in the Golden Rule, which is why editorial opinions are ours alone and have not been previously reviewed, approved, or endorsed by included advertisers.
The Ascent does not cover all offers on the market. Editorial content from The Ascent is separate from The Motley Fool editorial content and is created by a different analyst team.Emma Newbery has positions in Bitcoin. The Motley Fool has positions in and recommends Bitcoin and Tesla. The Motley Fool has a disclosure policy.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Share76Tweet47

Related Posts

Bitcoin pro traders warm up the $24K level, suggesting that the current BTC rally has legs – Cointelegraph

Crypto ATM Operator Cash Cloud Files for Bankruptcy – PYMNTS.com

by admin
February 9, 2023
0

Crypto ATM Operator Cash Cloud Files for Bankruptcy  PYMNTS.com

Bitcoin pro traders warm up the $24K level, suggesting that the current BTC rally has legs – Cointelegraph

Dubai’s Crypto Regulator Announces Increase In Resources To Handle New Applications – ABP Live

by admin
February 8, 2023
0

Dubai’s Crypto Regulator Announces Increase In Resources To Handle New Applications  ABP Live

Bitcoin pro traders warm up the $24K level, suggesting that the current BTC rally has legs – Cointelegraph

Microsoft Launches New Bing Likely Powered by OpenAI’s GPT-4 A.I – The New York Times

by admin
February 7, 2023
0

Microsoft Launches New Bing Likely Powered by OpenAI’s GPT-4 A.I  The New York Times

Bitcoin pro traders warm up the $24K level, suggesting that the current BTC rally has legs – Cointelegraph

Hut 8 and US Bitcoin announce merger of equals to create a … – PR Newswire

by admin
February 7, 2023
0

Hut 8 and US Bitcoin announce merger of equals to create a ...  PR Newswire

Bitcoin pro traders warm up the $24K level, suggesting that the current BTC rally has legs – Cointelegraph

Record-breaking 2022 for North Korea crypto theft: UN report – CNA

by admin
February 6, 2023
0

Record-breaking 2022 for North Korea crypto theft: UN report  CNA

Load More
  • Trending
  • Comments
  • Latest

Bitcoin’s Main Rival Ethereum Hits A Fresh Record High: $425.55

March 3, 2022

Bitcoin Is ‘Definitely Not a Fraud,’ CEO of Mobile-Only Bank Revolut Says

March 2, 2022
How online shopping has changed over the last 30 years | National

How online shopping has changed over the last 30 years | National

April 6, 2022
Protocon Announces ‘Contract Model’, an Alternative

Protocon Announces ‘Contract Model’, an Alternative

April 6, 2022

US Commodities Regulator Beefs Up Bitcoin Futures Review

0

Bitcoin Hits 2018 Low as Concerns Mount on Regulation, Viability

0

India: Bitcoin Prices Drop As Media Misinterprets Gov’s Regulation Speech

0

Bitcoin’s Main Rival Ethereum Hits A Fresh Record High: $425.55

0
Bitcoin pro traders warm up the $24K level, suggesting that the current BTC rally has legs – Cointelegraph

Polygon Recruits Top Aave Lawyer Rettig for Crypto Policy Role – Bloomberg Law

February 9, 2023
Bitcoin pro traders warm up the $24K level, suggesting that the current BTC rally has legs – Cointelegraph

Blockchain developers have taken a decentralized interest in cloud storage – will it shake up the industry? – Forkast News

February 9, 2023
Bitcoin pro traders warm up the $24K level, suggesting that the current BTC rally has legs – Cointelegraph

Crypto ATM Operator Cash Cloud Files for Bankruptcy – PYMNTS.com

February 9, 2023
Bitcoin pro traders warm up the $24K level, suggesting that the current BTC rally has legs – Cointelegraph

Coinbase's CEO Cites 'Rumors' the SEC May Ban Crypto Staking for Retail Customers – CoinDesk

February 8, 2023

Latest News

Bitcoin pro traders warm up the $24K level, suggesting that the current BTC rally has legs – Cointelegraph

Polygon Recruits Top Aave Lawyer Rettig for Crypto Policy Role – Bloomberg Law

February 9, 2023
Bitcoin pro traders warm up the $24K level, suggesting that the current BTC rally has legs – Cointelegraph

Blockchain developers have taken a decentralized interest in cloud storage – will it shake up the industry? – Forkast News

February 9, 2023

Categories

Site Navigation

  • Home
  • About us
  • Contact us
  • Privacy policy
  • Terms and services
  • Home
  • About us
  • Contact us
  • Privacy policy
  • Terms and services

© 2022 Designed by news4global

No Result
View All Result
  • Home
  • Bitcoin
  • Blockchain
  • Business
  • Latest news
  • Market
  • Regulation
  • Videos

© 2022 Designed by news4global