After a few tough months, Bitcoin has started flying once again. For the second time this year, its price is fueled by comments by billionaire magnate and Tesla CEO Elon Musk. You probably know the story with Tesla’s Bitcoin romance so far. The company bough around $2.5 billion worth of BTC in February this year, announcing it as a new payment option for its electric cars.
All those comments were erased two months later, with Musk announcing that Tesla is dropping the BTC support. He cited environmental reasons for it, being worried about the carbon footprint of the crypto mining process. It all went against everything Tesla stands for which resulted in a serious market crash.
It’s back on again, after Musk announced that his company would likely continue accepting Bitcoin soon.
A Formidable Price Rally
A week ago, Musk announced at a crypto conference that Tesla’s likely to continue accepting Bitcoin. After an investigation he led himself, he assured that that over 50% of the energy used in crypto mining comes from renewable sources. Musk says he’ll continue exploring alternative energy sources for the mining process, which could spell the end of miners relying on electric energy for their rigs that are harming the environment.
His comments were more than enough to send the crypto market flying. For the first time since June, Bitcoin got to $40,000 and even topped it, currently sitting just over it. There’s been a positive trend on the market overall, although it has been up and down during the last 24 hours. There was a mini-dip in the middle of Tuesday which probably allowed some investors to jump back in.
It’s all been a formidable run so far, although experts exercise caution. A week or more need to pass before we see if this is a bull run or a sudden price surge that will quiet down soon. Many investors are hoping that Musk doesn’t change his opinion like previously which could prove too much for Bitcoin to handle.
After his comments that Tesla has stopped accepting BTC, two months after welcoming it with open arms, Bitcoin went in a plunge and even dipped before $30,000. That erased all of the gains from the start of the year and scared many investors off. The good news is that it looks like its back on track after a few months of uncertainty.
Amazon Interested in Cryptos Too
On Friday, Amazon has expressed interest in Bitcoin and cryptocurrencies after opening up a position for a blockchain expert to its payment team. This suggests that it could be taking a closer look at cryptos. A spokesperson for the company has denied specific plans for cryptocurrencies, but admitted that Amazon is interested in that particular space.
These comments have had a positive impact on Bitcoin’s price, especially after Musk’s comments last week. We truly hope that the positive vibes will continue, leading Bitcoin to $50,000 like many predicted and possibly beyond.