Elon Musk Rise and His Impact in Cryptocurrency Markets Today

Forbes reports that the fortune of Elon Musk has swelled to $214.8 billion in this recent week, and that is an increase of $12.7 billion in his net worth. 

Elon Musk has become a household name when it comes to cryptocurrency. He is the CEO of Tesla, SpaceX, and The Boring Company. In recent weeks, reports from Forbes show that Tesla stock posted steady gains every day and rose 7.3% to cross $800 per share for the first time since February. With over 55 Million followers, he is much of an influencer on Twitter. 

Many people know Elon Musk as a crypto influencer, and his tweets seem to be shaking the crypto world. He has a complex view of cryptocurrencies, and every time he tweets about it, the market reacts.

Elon Musk’s influence on cryptocurrency

Whenever Elon Musk makes a post on Twitter, his followers are expecting something on cryptocurrency. It is undeniable that many millions of his followers are crypto fanatics, waiting for him to say something.

In 2014, Musk posted that bitcoin was ‘probably a good thing.’ It was then that rumors sprung, likening Elon Musk to Satoshi Nakamoto (pseudonym of the Bitcoin founder), and most people even claimed that he could be the founder of Bitcoin. 

Also Read: BITCOIN: Miners Can Collapse Bitcoin Quotes, But The US Government is Rushing To The Rescue of Digital Gold

By 2019, Elon tweeted that he wants in on cryptocurrencies. He even announced that Tesla now accepts crypto as a payment option.

And so, many more investors started to invest in Bitcoin as a hedge against inflation. That was when Elon announced that Tesla had bought $1.5 billion worth of Bitcoin. Soon after that announcement, Bitcoin soared to its then all-time high price of $58,000.

And when he made a tweet about the Dogecoin, the coin skyrocketed. He later said it was meant to be a joke.

In April 2021, Tesla sold 10% of its Bitcoin holdings, which caused many investors to panic. Elon tweeted in response that Tesla only sold Bitcoin to test its liquidity and that they are still holding their Bitcoin investment.

After some months, Elon Musk started making tweets that questioned bitcoin’s environmental impact and other cryptos. He posted on his Twitter that said Tesla would no longer accept payments in Bitcoin because of the high energy consumption of Bitcoin in the mining process.

This announcement plummeted the charts of cryptocurrencies, and Bitcoin fell to nearly $30,000. When someone confronted Elon Musk on what he thinks about crypto, he tweeted, “The true battle is between fiat & crypto. On balance, I support the latter”.

Also Read: United States Fed Prepares To Launch Review of Possible Central Bank Digital Currency

Elon Musk continued to toy with the cryptocurrency market. This recent week, Musk tweeted to say he wants to help miners make their crypto mining processes greener. Bitcoin jumped 19% in trade after these tweets at $39,944 from nearly $30,000.

Most cryptocurrencies, especially bitcoin, are influenced by geopolitical events. That is why when prominent figures in the industry say or tweet things about them, there are significant effects. Musk has become a frequent and powerful voice in the crypto niche. 

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