- By Steve Smith
- May 27, 2022
Bitcoin jumps 9.8% adding $3,492.71 to its previous value of $39,035.47 on Sunday, following Elon Musk’s tweet.
Tesla CEO Elon Musk said that the electric car maker will resume accepting the transactions of Bitcoin when miners who verify transactions use more renewable energy.
Earlier before this tweet, Bitcoin was up about 12% to $39,432 at the time of recovering losses from the previous week’s price fluctuation in Bitcoin. But Bitcoin price was still down more than 34% from last month’s record high.
After the Bitcoin jumps, the whole market cap rose within an hour above 1.5 trillion breaking through the $35,000 barrier level. In addition to this, Dogecoin is up about 5% despite blowing off a few investors after dropping 3% on Sunday.
Tesla CEO Elon Musk asserted that BTC won’t cause any loss of value and while arguing he also said that electric car makers would resume permitting Bitcoin transactions” if miners move towards more renewable energy.
“When there’s confirmation of reasonable (~50%) clean energy usage by miners with the positive future trend, Tesla will resume allowing Bitcoin transactions,” he said in a tweet.
For the time being, the crypto market with the top 20 digital currencies simultaneously increases, including Etherum by above 7% and Binance coin slightly up from $362 to $365.
Tesla sold about 10% of its holdings to confirm that Bitcoin could be liquidated without moving the market.
Earlier in May, Elon Musk said Tesla would no longer permit Bitcoin transactions for car purchases due to climate change concerns. Bitcoin fell more than 10% following this Elon Musk tweet.
Elon Musk believed that cryptocurrency has a promising future, but it cannot be at great cost to the environment.