Bitcoin Surges After Elon Musk’s Tesla Gives Conditions for Acceptance

crypto elon musk

Bitcoin finally broke the $38k resistance and crossed $40k on Monday, after Elon Musk revealed his multi billion electric vehicle company, Tesla, was still open to accepting Bitcoin transactions in the future. 

Elon Musk Denies Accusations

The Tesla CEO has come under some heavy criticisms in the recent past, and his tweet on Sunday,  June 13th, has been his most vocal attempt to squash them.

“What we have seen,” said Magda Wierzycka on Elon Musk, “concerning Bitcoin is price manipulation by one very powerful and influential individual.”

Wierzycka is one of the richest women in South Africa and the CEO of Sygnia, a fintech firm. She has also been one of Musk’s most damning critics. The South African lady billionaire was left unimpressed by Musk (who is also South African by birth) and his seeming antic to embrace Bitcoin one moment, and discard it the next. 

 “If that happens to a listed company, he [Musk] would be investigated and severely sanctioned by [the] SEC,” Wierzycka said, in an interview with Bruce Whitfield, at the Money Show last week.

The South African billionaire went on to accuse Musk of pumping Bitcoin’s price for his gain, only to ditch the coin after making profit.

Elon Musk has however swooped in to deny these claims, and has assured the public Tesla did not sell more than ten percent of its Bitcoin holdings in April, while also predicting the possibility of Tesla embracing Bitcoin in the future under more positive grounds.

“This is inaccurate” Elon Musk clapped back against Wierzycka’s claims. “Tesla only sold ~10% of holdings to confirm BTC could be liquidated easily without moving market.  When there’s confirmation of reasonable (~50%) clean energy usage by miners with positive future trend, Tesla will resume allowing Bitcoin transactions.” 

Tesla had blamed Bitcoin’s high carbon footprints for its unexpected U-turn in May, but Elon Musk’s latest tweet has appeared to restore some hope on that front, with Bitcoin’s price rising sharply after Musk’s reply.

Elon Musk’s Crypto Influence Persists

The billionaire might not be the darling of the crypto community anymore, but his influence still arguably endures. Last month, BTC lost more than half of the ATH it set in April following Tesla’s decision to halt acceptance of Bitcoin’s payment. Since Elon Musk’s tweet on Sunday, however, Bitcoin (BTC) has regained some verve. 

Having traded at $33,000-$37,600 all week, and opening the day at $35,555, the coin surged by more than 5% barely minutes after Musk’s tweet. Bitcoin now trades at $40,025 at press time.

Coupled with positive developments in the past week and El Savador’s official adoption of BTC, analysts are hoping Bitcoin can break the $40k resistance and embark on a bull run.

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