Last week, Tesla announced the suspension of support for Bitcoin as a payment method for its products, causing Bitcoin to fall below $50,000 and casting a shadow over the crypto market. However, the matter did not end there. Beginning this week, Musk continued to post various shorting talks about Bitcoin on Twitter, such as: Bitcoin mining is not decentralized, Bitcoin mining energy consumption is high, and even hinted that Tesla may sell Bitcoin holdings. This directly caused the cryptocurrency market to plummet across the board.

Before that, Musk was optimistic about Bitcoin. For example, Tesla accepted Bitcoin as a payment method for its products; Bitcoin has a bright future; Bitcoin passed the stress test... And only one month has passed, Musk’s remarks changed immediately. I have to say that the leeks in the currency circle are really easy to cut.

The most outrageous thing is that many people regard Musk's words as the secret of wealth. Those who understand it probably know that Musk’s remarks are meant to influence market prices. And is the long-term value of Bitcoin really something Musk can determine? Some sources imply that Tesla may sell bitcoin positions, who knows if Musk is secretly buying bitcoin in the meantime. This afternoon, Tesla said again that Tesla did not sell any bitcoins.

Musk's remarks may affect the price of Bitcoin in the short-term, but its long-term value is not determined by Musk's remarks. As long as the fundamentals of Bitcoin have not changed, the long-term price will still follow the value. Despite the violent turbulence in Bitcoin due to Musk’s remarks, Fundstrat’s founder Tom Lee is still optimistic about Bitcoin and raised his Bitcoin target price at the end of 2021 to $100,000-125,000.

We may not be able to speculate about Musk's motives. However, his many remarks on Twitter naturally have his intentions. You can think back to the circumstances under which he advocated Bitcoin last time. Listen to my persuasion, you can't grasp the currency speculation, and the currency price is difficult to predict. Let's mine. Mining is a long-term investment business. Compared with the money for selling coins, the input cost of mining is controllable, and the timing of selling can also be selected. As long as the overall price of Bitcoin shows an upward trend, mining will still be profitable. Even if the current currency price plummets, for miners, it is just a buying opportunity. And even if the miners sell coins, the cost of mining is still low, but for the speculators it’s hard to say.

It is not easy to speculate coins, so let's mine.

Articolo più recente