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Bitcoin will be close to $ 40,000 after Elon Musk talks to miners about energy usage

Tesla, led by Elon Musk, confirmed that it bought about $ 1.5 billion in Bitcoin in January and plans to start accepting it as a payment in the future.

Artur Widak | NurPhoto | Getty Images

Bitcoin prices are approaching $ 40,000 again after Tesla CEO Elon Musk tweeted that he was in active discussion with Bitcoin miners on the sustainability of digital coins.

Bitcoin was trading at about $ 38,767.62 at 3:30 EST on Tuesday, according to CoinDesk data, and its price has risen by more than 9% in the last 24 hours.

Almost all other major cryptocurrencies are also high.

Ethereum prices have risen more than 15% to $ 2,634.79 in the last 24 hours, while Dogecoin has risen more than 8% to 35 cents.

A few lesser-known cryptocurrencies, such as tethers and dies, have fallen in price over the last 24 hours, but only slightly.

Bitcoin, the world’s most popular cryptocurrency, soared minutes after Musk tweeted.

The coin first soared 4%, reaching $ 39,824.81 a few hours later, but then returned to nearly $ 38,000.

Microstrategy CEO Michael Saylor followed Musk’s tweet and hosted a meeting between Tesla CEO and some Bitcoin miners, leading to the establishment of a Bitcoin Mining Council to promote sustainability. Said.

Bitcoin mining requires a huge amount of energy.As a result, Bitcoin Carbon footprint comparable to New ZealandAccording to Digiconomist, it produces 36.95 megatons of CO2 annually.

Musk is a big supporter of cryptocurrencies, and the price of digital coins, including Bitcoin, has risen several times over the past year. His tweets and comments about cryptocurrencies often cause prices to skyrocket or plummet.

Tesla announced at a SEC filing in February that it would buy $ 1.5 billion worth of Bitcoin and accept it as a payment method. The company later said it recorded a net profit of $ 101 million from Bitcoin sales during the quarter, helping to boost its first-quarter net profit to a record high.

However, the relationship between masks and digital coins seems to have changed earlier this month. He tweeted on May 12 that he had “suspended vehicle purchases” using Bitcoin, fearing “a surge in fossil fuel use” in Bitcoin mining.

This week’s Bitcoin backlash comes after the crypto market turmoil, where prices fell below $ 32,000 on Sunday.

The sale of cryptocurrencies last week came after Chinese and US authorities moved to tighten cryptocurrency regulation and tax compliance.

Chinese officials demanded stricter regulations on cryptocurrency mining and trading on Friday, and the US Treasury announced Thursday that it would require stricter cryptocurrency compliance with the IRS.

— Additional report by Jessica Bursztynsky on CNBC.

Bitcoin will be close to $ 40,000 after Elon Musk talks to miners about energy usage

Source link Bitcoin will be close to $ 40,000 after Elon Musk talks to miners about energy usage

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