There is a lot to discuss today. We’ll go over Elon Musk’s selling of bitcoin and what it means for the market. Do you feel failured because of the market goes crushed? The best solution is to use the Jet-Bot, which is the most popular binance trading bot. It allows you to earn APYs ranging from 200 percent to 2,000 percent without taking any risks. It has 4565 active bots, that can assist you in determining your possibilities for starting your crypto trading. Every Jet-Bot account includes a free $100,000 virtual portfolio. This is a perfect time to sign up for a free 3-day trial.
This came out late in the day yesterday. Elon Musk’s Tesla has sold 75% of its bitcoin holdings. This is something that has already happened within the last three months and he announced it on his Q2 earnings call for Tesla, and here is his reasoning as to why he chose to sell 75% of Tesla’s bitcoin:
‘Additionally, we converted a majority of our bitcoin holdings to fiat for a realized gain offset by impairment charges on the remainder of our holdings, netting a $106 million cost to the company included within restructuring and other. We also encourage restructuring charges related to targeted staffing reductions.’
‘Yeah, actually it should be mentioned that, um, the reason we, uh, sold a bunch of bitcoin holdings was that we were uncertain as to when the COVID lockdowns in China would be alleviated, so it was important for us to maximize our cash position. And given the uncertainty of the COVID lockdowns in China, we are certainly open to increasing our coin holdings in the future. So this should not be taken as some sort of verdict on bitcoin, uh, it’s just that we were concerned about overall liquidity for the company given code shutdowns in China and we have not sold any of our Dogecoin.. We still have it.’
So do you remember a year ago, actually a year ago from today, when Elon Musk made his stance on bitcoin clear? I might pump. But I don’t dump. Elon Musk says he will not dump bitcoin. Today, Elon Musk is saying that he’s dumping 75% because of COVID lockdowns, and then at the end, did you catch that he said we have not sold any of our Dogecoin? We still have our Dogecoin. Elon Musk is a little bit of a troll, but obviously, what’s done is done.
Let’s talk about the implications this has on the bitcoin and cryptocurrency market. Tesla has sold off its inventory. Actually, they’ve already sold off their inventory . This has already happened in the market. It appears to have been mainly done so to maintain positive cash flow for non-bitcoin-centric reasons, and they still have 25% bitcoins on their balance sheet. Maybe I’m coping, but this kind of seems like it’s not that big a deal.
Tesla had no choice but to sell or else they’d end up in the red in the last quarter. Almost everybody that sold this dip had no choice but to sell, and none of the reasons had anything to do with bitcoin’s fundamentals. I’d say we’re going back up eventually.
It seems like this Tesla sale flood is a little bit overhyped. They’ve already done it. It’s in the past. The cell pressure is gone and, best of all? They still have bitcoin on their balance sheet.
What you think about Elon’s selling? Of course, we saw some major bitcoin proponents, i.e., Michael Saylor takes to Twitter, takes to the comments, and just start really sharing how he feels. Michael Saylor takes a shot at Elon Musk on Twitter over Tesla’s 936 million bitcoin sale. Two of his major tweets were:
That makes it clear that Elon Musk still holds bitcoin, so it is what it is. What you think about this?
[This article is a transcription of a video made by Altcoin Daily]
[Original video: https://youtu.be/nBJ_FIPmg7M]