Bitcoin rose strongly earlier today to get to as high as $66.3k. This brought its total market capitalization above $1.24 trillion. Tesla on the other hand lost some value in bizarre circumstances to loose around 3% of its value to $1.19 trillion. As a result, Bitcoin rose above Tesla’s market capitalization and has stayed above it ever since.
Elon Musk, eccentric as always seems to be on a mission to influence Tesla’s price index, not upwards but downwards. He held a poll on Reddit on whether or not he should sell off his 10% of his shares. These shares were worth more than $23 billion when he held a poll on Twitter and represented around 2% of the entire market capitalization of the company.
Redditors, as expected, told Elon to go ahead and sell them off. While this could easily be a joke from Musk, he is known to take his Reddit audience quite seriously. He has a close bond with his Reddit brethren whom he regularly takes in confidence in this outlandish moves. This is why the market reacted the way it did earlier today and it gave the opportunity to Bitcoin to go above it. Overall, if you consider the total coin market capitalization of all cryptocurrencies, it is around $2.9 trillion and easily much, much more than the highest valued company in the world currently (Microsoft with $2.5 trillion). But, now Bitcoin itself is rising higher and can be placed sixth in the charts right below Amazon with a valuation of $1.77 trillion.
But, Bitcoin is not a company. It is a cryptocurrency that started a new digital economic revolution. So, a comparison with a single company like Tesla isn’t a fair one. Tesla has products and it is a futuristic organization with different goals. Bitcoin is a decentralized network that focuses on making transactions secure and immutable for its native digital currency. It doesn’t exist to make anything profitable for anybody. So, there can be no fair comparisons except that they both started around the same time in the first decade of the 21st century.
Overall, cryptocurrency investors would be relieved of the fact that Musk doesn’t have that kind of influence in the crypto markets anymore. Earlier this year, he managed to overplay his hand and helped crash the market which didn’t sit well with the core crypto community and it went after him. He hit back as well and since then, his influence in the market is practically non-existent and that isn’t for the lack of trying. He tried again and again to pump Dogecoin and failed and re-enter the scene as a crypto investor but nobody paid heed any more.
But, Tesla’s stock is not only his own company’s but he also owns a substantial amount of it (around 20%) of it or $200 billion+. So, Tesla shareholders and investors need to be wary of his workings as a sudden influx of new shares worth billions will likely cause the price to tank in the near future.
Image Source: pixabay.com
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