75% of Tesla's Bitcoin holdings are sold by the company leading to poor sentiment

22 Jul 2022 , 09:19 AM

Tesla Inc. revealed in its earnings for the three months ending in June 2022 that it has reduced its Bitcoin holding by one-fourth.
Elon Musk’s company shocked the cryptocurrency community by revealing that it had converted nearly 75% of its Bitcoin holding into fiat money, adding $963 million to its balance sheet.

However, the large automaker had declared in February 2021 that it had invested around $1.5 billion in Bitcoin, but just two months later, in April, it lost 10% of its position.

75% of Tesla’s Bitcoin holdings are sold.

Tesla Inc. revealed in its earnings for the three months ending in June 2022 that it has reduced its Bitcoin holding by one-fourth.
Elon Musk’s company shocked the cryptocurrency community by revealing that it had converted nearly 75% of its Bitcoin holding into fiat money, adding $963 million to its balance sheet.

However, the large automaker had declared in February 2021 that it had invested around $1.5 billion in Bitcoin, but just two months later, in April, it lost 10% of its position.

Tesla also stated that the loss from the Bitcoin impairment in the second quarter had caused its cryptocurrency holding to fall to $218 million. The announcement affected the price of cryptocurrencies.

Tesla also stated that the loss from the Bitcoin impairment in the second quarter had caused its cryptocurrency holding to fall to $218 million. The announcement affected the cryptocurrency market, which experienced strong profit-taking following the most recent surge.

Elon Musk, the CEO of Tesla, stated on the earnings conference call that the business sold Bitcoin to maximize its cash because of uncertainty around Covid. The sale shouldn’t be interpreted as “a decision on Bitcoin,” he continued.

The number one cryptocurrency asset, which was trading at $24,200 on Wednesday, fell more than 6% to levels of $22,700 on Thursday, despite the mercurial technocrat’s explanation.