Bitcoin Dives On Musk U-Turn
MarketPulse | May 12, 2021 11:47PM ET
A late tweet from Elon Musk sent Bitcoin prices into freefall. Musk decided that the environmental impact of Bitcoin mining has become too significant, his tweet was a major reversal for Tesla (NASDAQ:TSLA). Musk’s decision for Tesla to suspend acceptance of Bitcoin as payment for a car is a big hit for mainstream acceptance.
The environmental impact from mining Bitcoins was one of the biggest risks for the entire crypto market. Over the past couple of months, everyone disregarded news that Bitcoin uses more electricity than Argentina and Norway. Elon Musk’s tweet is Tesla getting ahead of the ESG movement. Shockingly, this did not become a bigger story until now. Bitcoin is in the danger zone and now everyone is scrambling to see which cryptocurrencies have the lowest energy transactions. Some buyers emerged on Bitcoin’s break of the $47,000 level, but I wouldn’t be surprised if sellers remained in control over the short-term.
Original Post
Get The News You Want
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.