Tesla Bitcoin Holdings Reclaim $1 Billion Threshold

by

As a seasoned crypto investor with a knack for spotting trends and making informed decisions, I’ve learned to appreciate the power of patience and strategic timing. Tesla’s Bitcoin investment journey serves as a testament to the potential rewards that can come from long-term holding strategies.

Approximately three years following Tesla’s investment in Bitcoin (BTC), Elon Musk’s electric car company is still enjoying the rewards of that decision. Notably, Tesla’s Bitcoin holdings have once again surpassed a $1 billion valuation, as per data from Arkham Intelligence. This increase in value serves to offset recent sell-offs experienced by the firm.

Tesla and Bitcoin boom

Data from Arkham Intelligence indicates that Tesla is still holding 11,509 Bitcoin units on the Coinbase Prime platform. At the current price of $87,206 per Bitcoin, this equates to approximately $1 billion and change, totaling $1,003,680,252.55. This past week, the value of this portfolio has increased by around $96.77 million, putting it back into an unrealized profit position.

JUST IN: TESLA NOW HOLDS $1 BILLION BTC

— Arkham (@ArkhamIntel) November 11, 2024

In Q1 of 2021, Tesla initially purchased approximately $1.5 billion in Bitcoins. Subsequent sales were made in later years, causing the value to drop below the $1 billion threshold. However, as previously reported by U.Today, Elon Musk has confirmed that Tesla still holds onto its remaining Bitcoin holdings.

It turns out that decision was well-made, as the company is currently benefiting from the ongoing surge in the stock market. At this moment, Bitcoin’s value stands at $88,902.18, representing a 9.56% increase over the past day following several new record highs it surpassed.

Motivation to buy more?

Institutional investors are finding it simpler to jump on the bandwagon due to Bitcoin’s impressive performance. Particularly during this persistent market surge, MicroStrategy has purchased an extra 27,200 units of Bitcoin, adding to their already substantial Bitcoin holdings.

Currently, there’s a growing number of institutional investment companies purchasing Bitcoin. Whether or not Tesla decides to invest further in the cryptocurrency remains uncertain. Instead of acquiring Bitcoin directly from the open market, investors are increasingly choosing to gain access through Bitcoin ETF offerings in the spot market.

Firms like Susquehanna Investment Group (SIG) and BNP Paribas are also exposed to BTC.

Read More

2024-11-12 13:22