Billionaire Elon Musk supports virtual currency compared to fiat money

In the battle between fiat money and virtual currency, Tesla CEO – billionaire Elon Musk said he supports virtual currency.

Last week, bitcoin “evaporated” more than 13% to less than $40,000.

“The battle between fiat and virtual currency is a real one. To be fair, I support the latter (virtual currency),” billionaire Elon Musk wrote on his personal Twitter page, a move to appease who are angry at his recent attitude towards cryptocurrencies.

The previous Tesla boss has repeatedly compared bitcoin to fiat money and regularly posted tweets that caused the price of bitcoin and other virtual currencies like dogecoin to fluctuate.

Bitcoin rises steeplyin February after Tesla revealed the amount of bitcoin the business bought is worth $1.5 billion and will soon accept bitcoin as a means of payment for buying cars. By May, bitcoin was plunging after the billionaire Elon Musk announced that Tesla will not accept customers using bitcoin to pay for cars, due to environmental concerns from using high-powered computers to “mine” bitcoin.

In early May, bitcoin also plummeted after billionaire Elon Musk called the virtual currency a “push” in a guest position on the TV show “Saturday Night Live”. Three days ago, the Tesla CEO confirmed that he has never sold any of his dogecoins and will not sell any dogecoins.

Last week, for the first time in 14 weeks, bitcoin “evaporated” more than 13% to $ 38,585.86 at 12:54 on May 19 (ET), according to CoinDesk data. This is bitcoin’s lowest price since the 9/2 trade day – the last time bitcoin slipped below $40,000.

The negative news last week continuously flooded the virtual currency market, causing investors to panic sell. In addition to the moves from Tesla and this car company boss, bitcoin received bad news from China when three of the country’s banking and payment authorities warned financial institutions not to conduct related business activities. related to virtual currency, including the transaction or exchange of fiat currency for virtual currency.

Looking back at the price movement over the past time, bitcoin is still up 40% year-to-date and a shocking increase of more than 300% in the past 12 months.

However, if compared to price peak of 64,829.14 USD set in mid-April, bittcoin fell about 38% again. Vijay Ayyar, Head of Business Development at Luno virtual currency exchange, said that a drop of 30-40% is normal in the bitcoin market. “So that drop was predicted after (bitcoin) peaked at 64K ($64,000),” added Vijay Ayyar.

Mr. Vijay Ayyar cited, bitcoin has gone through a correction down about 35% in January 2021 and similar drops amid the bull wave in 2017. This expert thinks that bitcoin is definitely close to bottoming, at about 38,000 – 40,000 USD.

Mike Novogratz, who runs Galaxy Digital, an investment management and digital financial services company, predicts bitcoin will hold steady between $40,000 and $55,000, with $40,000 as the buy price.