Elon Musk, CEO of technology giant Tesla, rejected claims that the company sold previously acquired bitcoins after being accused of manipulating cryptocurrency markets, as Bitcoin is took away on Monday.
Earlier in the day, the price of Bitcoin fell more than 10 percent, to $ 42,200, and wiped out more than a third of the historic April price. It has been speculated that the volatility was caused by Musks ’recent posts on Twitter.
On Sunday evening, a crypto-enthusiast wrote that “Bitcoiners will be slapped next quarter when they find out that Tesla abandoned the rest of its Bitcoin holdings.” Musk chose to respond to the tweet with a cryptic “In fact …” The fact that the founder of Tesla chose not to completely deny the assumption caused concern among traders and the price of the cryptocurrency dropped the next day.
Since then, many have appeared on social media to accuse Musk of manipulating the market, which has prompted him to respond with another tweet.
“To clear up the speculation, Tesla has not sold any Bitcoin,” he wrote.
This is not the first case in which Musk’s tweets influenced the negotiation. On May 13, the price of Bitcoin was announced after the CEO of Tesla announced in a message that the company will stop accepting cryptocurrency to sell electric cars, citing concerns about the use of fossil fuels during mining. At the very least, Bitcoin was trading at $ 46,000, but managed to bounce back to $ 50,000.
In late April, Musk stated that Tesla sold 10 percent of its Bitcoin stakes to demonstrate its liquidity as an alternative to keeping cash on the balance sheet. Recently, the CEO of Tesla also ventured directly into the cryptocurrency business in support of a meme-inspired Dogecoin. Thanks to Musks’ Twitter promotional campaign, which went so far as to accept Dogecoin’s payments to its Rocket company SpaceX and to launch the “DOGE-1 Mission to the Moon,” its price has skyrocketed beyond 800% during the last month.