Bitcoin Price Drops After Elon Musk Tweeted That Tesla Will Suspend Vehicle Purchases Using Bitcoin

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Bitcoin drops by 10% after Elon Musk tweeted that Tesla Inc had stopped accepting bitcoin to purchase its vehicles due to climate concerns. In the past 24 hours, Bitcoin (BTC) has been trading between $46,000 and $57,250. As of 8:00 AM (UTC) today, BTC is at $51,233 (-10.24%). Most of the other major cryptocurrencies were dragged down alongside Bitcoin.

This plunges started immediately after Tesla CEO Elon Musk tweeted that Tesla will suspend vehicle purchases using Bitcoin due to concerns over the environmental impact of the cryptocurrency, which caused the most recent market drop. Bitcoin’s price dropped nearly $10,000 after Musk’s tweet.

“Tesla has suspended vehicle purchases using bitcoin,” Musk posted on Twitter. “We are concerned about rapidly increasing use of fossil fuels for bitcoin mining and transactions, especially coal, which has the worst emissions of any fuel.”

“Cryptocurrency is a good idea on many levels and we believe it has a promising future, but this cannot come at great cost to the environment,” he continued.

 

Musk did say that Tesla would not sell any of the bitcoin owned by Tesla currently, and would use it again “as soon as mining transitions to more sustainable energy.” In the meantime, he said Tesla will look at other cryptocurrencies that use less energy to mine.

In addition, Ethereum’s co-founder Vitalik Buterin, who became the world’s youngest known crypto billionaire less than two weeks ago, has donated over $1 billion of the obtained crypto to the India Covid Relief Fund and a range of other charities. He distributed the SHIB he obtained by airdrops to charity foundations. This action had a negative impact on some parts of the altcoin markets.

He made the donation by offloading massive amounts of dog-themed meme tokens, which he was gifted by the creators of Shiba Inu coin (SHIB), Dogelon (ELON), and Akita Inu (AKITA). These cryptocurrencies have taken off following Dogecoin’s staggering rally of the last few months. Though built around similar memes, these copycats have much larger token supplies.

Read: 10 Ways to Increase Profits In Your Business

Other major cryptocurrencies:
BNB: $628.44 (-6.58%)
ETC: $93.02 (-15.10%)
LTC: $328.68 (-13.68%)
LINK: $44.50 (-8.33%)
XRP: $1.3744 (-7.19%)
ADA: $1.7228 (-3.43%)
DOT: $40.59 (+1.87%)
BCH: $1333.93 (-13.13%)
DOGE: $0.439 (-14.11%)
SHIB: $0.00001949 (-30.91%)

Top 3 gainers on Binance:
ATM / BTC (+133.91%)
NANO / BTC (+52.45%)
ACM / BTC (+49.02%)

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