With Tesla refusing the payments of Bitcoin, most critics of the cryptocurrency believe that they have just been witness to the cavalier attitude of Elon Musk- who has no clue what consequences his actions or words have on the industry. On the 13th of May, both Musk and Tesla came forth with the announcement that they had stopped accepting Bitcoin as a source of payments. This came into effect after Tesla raised concerns that the cryptocurrency sector was callously doing away with fossil fuels for the mining and transaction of BTC.
Elon Musk’s Decision Might Prove Detrimental To Bitcoin’s Growth
There was quite a major reaction to this news, as the cryptocurrency reduced 15% in around three hours, from a value of $55,000 to a value of $46,600. Accordingly, the Fear & Greed Index of Bitcoin started moving in from a greedy score of 68 to quite a terrified 31 after the news came in. The aggressive movement of the Index has led to many investors getting disgruntled with the electric vehicle company.
According to them, Elon Musk has simply been using the cryptocurrency as an elaborate pump and dump. For the uninitiated, the car company had decided to accept Bitcoin as a mode of payment for its vehicles since March- something which helped exacerbate the rally of BTC to uncharted territories of $65,000. Now, the price has started plummeting quite fast, and it might continue until steps are taken.
Several crypto traders have already gone ahead and voiced their opinions that Elon Musk had tried to sink this cryptocurrency. Dave Portnoy, one of the founders of Barstool Sports mentioned that Elon Musk was simply being very reckless with the futures and fortunes of a lot of people. For, if Elon Musk had shouldered the responsibility of buying Bitcoin, he should have gone ahead with it rather than canceling it at the last moment.
