The entry of “Tesla”, a company specialized in the electric car industry, which is managed by “Elon Musk”, the bitcoin market, greatly affected the price of Bitcoin, which rose crazy since it was announced in January 2021 until the moment.
According to a study conducted by the American research firm “Wedbush Securities”, “Tesla” has benefited greatly from its entry and investment in Bitcoin.
Considering that the company “Tesla” bought the value of 1.5 billion dollars of bitcoin in January, and after the announcement, the price of bitcoin exceeded new records and reached 58.6 thousand dollars.
Analysts at Wedbush estimate that Tesla has already made a profit of $ 1 billion from its bitcoin investment.
What this means and if you compare these revenues with their revenues in 2020 from the profits of selling Tesla cars, which were estimated at 721 million dollars, we find that the profits of investing in Bitcoin are more than the profits of selling their cars in 2020, taking into account that Tesla did not sell any of the bitcoins it bought until the Bitcoin reached the highest Its levels.
What helped the Bitcoin currency rise is the most “Elon Musk” tweet on Twitter, which is followed by more than 47 million followers, as he previously changed his biography of Bitcoin, so that the price of bitcoin rose by 13% within one hour.
Musk defended Bitcoin against critics as well.
When Peter Schiff, a gold lover and bitcoin critic, who runs the Euro Pacific company, tweeted that gold was superior to cryptocurrencies, Musk did not agree, and tweeted:
You get an email saying you have gold but don’t own or touch it.
Digital currencies as well.
Wedbush analysis describes bitcoin investing as a side effect of Tesla.
According to the same analysis, it could have a multiplier effect for public companies over the next year and two.
Wedbush analysis predicts that less than 5% of public companies will copy Tesla’s investment in bitcoin until more regulatory goals are set around the cryptocurrency market, and the analysis is optimistic that bitcoin will have a huge impact on the banking industry and financial payments in the next few time period.