Bitcoin price rises after Elon Musk tweet on energy use

The price of Bitcoin rose about 4% Monday afternoon after Tesla CEO Elon Musk tweeted that he had had active discussions about the sustainability of the digital coin.

Bitcoin was trading at $ 38,074, according to Coindesk, when ET Musk wrote on Twitter at around 3:42 pm, “Talked to North American bitcoin miners. They pledged to publish current and planned renewable energy uses and to ask WW miners to do so to do. Potentially promising. “

In a matter of minutes, the price had risen to over $ 39,500. Overall, the coin has increased more than 17% in the past 24 hours.

Michael Saylor, CEO of Microstrategy, responded to Musk’s tweet, saying he hosted a meeting between the Tesla CEO and some bitcoin miners that led to the formation of the Bitcoin Mining Council, which will promote sustainability.

Musk has been a huge proponent of cryptocurrencies and has helped raise the prices of digital coins, including Bitcoin, several times over the past year. His tweets and comments around the cryptocurrency often make prices go up or down.

In a February SEC filing, Tesla announced that $ 1.5 billion worth of Bitcoin had been purchased and would be accepted as a form of payment. The company later announced that it posted $ 101 million in net income from the sale of Bitcoin for the quarter, which helped push net income to a record high in the first quarter.

However, his relationship with digital coin changed earlier this month. He tweeted on May 12 that the company had “suspended” Bitcoin vehicle purchases over concerns over the “rapidly increasing use of fossil fuels” for Bitcoin mining.

Subscribe to CNBC on YouTube.

Comments are closed.