Bitcoin shows slight recovery price shot up by 9.86%

After back to back pitfalls bitcoin has finally instilled a little ray of hope among potential investors. Followed by China’s decision to ban bitcoin it continued to lose a strong grip over its value in the past few weeks. A few tweets by Tesla’s owner Elon Musk have worked positively in raising bitcoin’s price above $39,000.

 

On Sunday Elon Musk took to twitter to announce that Tesla could accept bitcoin transactions in the upcoming future. Musk also added that when the miners confirm that 50% clean energy will be used in crypto mining Tesla will start accepting bitcoins again.

 

On May 13 2021, Elon Musk declared that Tesla will not accept payments in bitcoin considering the hazardous nature of crypto mining. He also added that the company will not sell any of its bitcoin holds.

 

Followed by Elon Musk’s Sunday tweet Bitcoin’s price shot up to reach $39,095. Its price went by 9%. Bitcoin price $39,106.73 (as on 14 June, 2021, 5:35 p.m.). Prices of other cryptocurrencies went up by smaller percentages.

 

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Ethereum’s price(ETH) went up by 4.28% in the last 24 hours. Ethereum’s price $2,481.71(as on 14 June, 2021, 5:40 p.m.).Litecoin price shot up by 3% in last 24 hours to reach $167.12 (as on 14 June, 2021, 5:42 p.m.). Bitcoin cash surged by 4.85% in the last 24 hours to reach $601.78 (as on 14 June, 2021, 5:43 p.m.).

 

As reported by CNBC Billions of dollars were wiped off in the cryptocurrency market  after Musk tweeted in May about Tesla’s suspension of car purchases using bitcoin. Musk’s past tweets have also been linked to moves in the stock market — ranging from so-called meme stocks such as GameStop , to the investor of viral song ‘baby shark”.

 

Currently bitcoin is under the threat radar due to the environmental impact of bitcoin mining. Bitcoin is among the top 30 energy consumers of the US. Bitcoin mining uses 66% more electricity compared to 2015. Although Jack Dorsey, Twitter's CEO claims that bitcoin is climate friendly. 

 

China and Iran have already banned bitcoin considering the ill impacts of crypto mining. Chinese Vice President said it is important to stop crypto mining and trading to prevent the transmission of individual risks. Blackout in Tehran and other parts of Iran was due to energy intensive crypto mining which paved the way for ban.