First hailed as the savior of crypto, Elon Musk is rapidly becoming hated among the community. After stating that Tesla would no longer accept payments in Bitcoin, many voiced the opinion that Bitcoin is better without him.
The billionaire owner of Tesla and SpaceX is at odds with the Bitcoin community again, after a tweet that had Bitcoin lose 20% of its value.
Bitcoin fell below $45,000 for the first time in three months after Musk’s tweet which many saw was implying that Tesla had sold or would sell its Bitcoin holdings.
The tweet in question was a reply to a user defending Musk from the “hate” he is getting from the Bitcoin community.
The user predicted that Tesla would sell its holdings of Bitcoin by next quarter, in time for the earnings reports, and said that he “wouldn’t blame” Musk for doing so, due to the amount of “hate” he is getting. Musk replied with “Indeed.”
— Elon Musk (@elonmusk) May 16, 2021
As the tweet was interpreted as a sign that Tesla has, or is planning to sell its holdings in Bitcoin, the price fell by more than 20% and traded near $42000. Bitcoin was down $4000 from where it was Friday, before the tweet.
Musk went to Twitter again on Monday, only to “clarify” that Tesla did not sell any of its Bitcoin holdings yet. With this tweet, the price of Bitcoin rebounded to $45,270.
To clarify speculation, Tesla has not sold any Bitcoin
— Elon Musk (@elonmusk) May 17, 2021
Musk did not clarify whether Tesla would sell its holdings and whether it would disclose the transaction to the public (and to its shareholders) before its earnings report.