SpaceX’s Bitcoin write-down report, published in The Wall Street Journal on August 18, 2023, created confusion within the cryptocurrency community. Many people questioned whether SpaceX had sold its entire Bitcoin holdings worth $373 million or if they had simply reduced their exposure to Bitcoin by that same amount.
Various social media platforms reported conflicting information, with some claiming that SpaceX had indeed sold all its BTC holdings, while others expressed uncertainty due to the ambiguity of the report’s wording.
Elon Musk had previously revealed in 2021 that both SpaceX and Tesla held Bitcoin on their balance sheets. While Tesla’s Bitcoin holdings were made public, the exact estimations of SpaceX’s BTC holdings remained undisclosed, causing further confusion. Tesla had previously held $1.5 billion worth of Bitcoin acquired during the bull market but later revealed that it had sold 72% of its holdings in Q2 2022.
The report suggesting a Bitcoin write-off by SpaceX was believed by some to be one of the reasons behind the $2,000 price drop in BTC. However, others denied it being a significant cause. Elon Musk has not yet addressed the issue, but this market fear, uncertainty, and doubt (FUD) made him a target of Bitcoin proponents who criticized his strategy of buying high and selling low.
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One Reddit user speculated that Musk might be running out of cash across all his companies and could potentially sell all of his Bitcoin and doge within the next six months. This added to the speculations and concerns surrounding SpaceX’s BTC holdings.
Users on social media platforms also called out Musk for what they referred to as his “paper hands,” a term used to describe individuals who sell their Bitcoin holdings prematurely. Others linked the BTC write-down to SpaceX’s ambition of becoming a prominent player in the payment industry.
Despite the ongoing dilemma and speculation surrounding SpaceX’s Bitcoin holdings, Bitcoin proponents advised traders to hold onto their BTC and not be swayed by market FUD. They emphasized the importance of patience and long-term investment strategies.
At the time of writing, Bitcoin was trading at $26,433, having surpassed the $26,000 resistance level. However, it’s worth noting that the price of Bitcoin experienced a 9% decline the previous night, which also led to a significant downturn in the altcoin market, with several top altcoins experiencing double-digit losses.
In conclusion, the confusion regarding SpaceX’s Bitcoin write-down continues to persist, with conflicting reports and speculation surrounding the company’s BTC holdings. The market reaction and criticism aimed at Elon Musk highlight the volatility and sensitivity of the cryptocurrency market, where even the actions of influential figures can have a significant impact. Traders and investors are advised to stay informed, exercise caution, and make decisions based on thorough analysis rather than reacting to market rumors and FUD.
