Elon Musk says Bitcoin is on the Verge of seeing Broader Acceptance in a Clubhouse Conversation
In an exclusive audio chat social media platform Clubhouse conversation on February 1, 2021, the CEO of Tesla, Elon Musk, has said that Bitcoin is on the verge of broader acceptance. When asked about his thoughts on Bitcoin, Elon Musk in a conversation with Andressen Horowitz and other prominent investors, said: “I do think Bitcoin is a good thing. I’m a supporter of Bitcoin. I think Bitcoin is on the verge of getting broad acceptance by conventional finance.”
These comments come just a couple of days after he put the word “Bitcoin” in his Twitter bio, which led to a rally in the BTC price by 14% within 30-minutes. The industry executives, who were present in this invite-only public conversation, have a generally positive attitude towards Tesla CEO’s comments on Bitcoin.
A partner at Greymatter Capital, James Todar, said:
“One of the most forward-thinking inventors of our age missed bitcoin. On Clubhouse just now, @elonmusk tells of a friend who gave him a cake in the shape of a bitcoin back in 2013. Despite being ‘late to the party’ Elon thinks bitcoin is on the verge of acceptance in finance.”
A similar kind of sentiment is reflected in the words of a partner at 10T Holdings, Dan Tapiero. He appreciated the fact that the riches man in the world is a supporter of Bitcoin. In a tweet he said:
“Somehow it feels good that @elonmusk , a #Bitcoin supporter near my age is the richest man in the world. Was getting tired of Gates/Buffett/Bezos…older guys in old tech or no tech and not bitcoiners. With an iconoclast and a visionary as example maybe there is hope for Gen Z.”
Elon Musk’s appreciation of Bitcoin comes at the backdrop of billionaire Bitcoin investor Tim Draper asking Musk to accept Bitcoin directly. Draper believed that endorsement from Musk will provide a massive boost to the global awareness of Bitcoin.
Despite Elon Musk’s BTC endorsement, the price of Bitcoin fell by around 3%. There are mainly two reasons for this drop in BTC price immediately after Musk’s appreciative comment:
- Some of the traders may have anticipated that Tesla’s CEO was going to reveal his Bitcoin holdings.
- The minor pullback that happened just minutes after the publicized comments of Musk must have been a reaction with respect to a sell-the-news response.
Weaknesses in the BTC price was evident since its massive rise on Friday after Elon Musk’s inclusion of the word #Bitcoin in his Twitter bio. The US$34,500 and US$35,000 levels are acting as strong resistances. In the short term, these strong resistances must be broken to avoid any further downslide.
