Elon Musk says bitcoin is slightly better than holding cash

[snoop1130]

Elon Musk says bitcoin is slightly better than holding cash

 

FILE PHOTO: SpaceX owner and Tesla CEO Elon Musk speaks during a conversation with legendary game designer Todd Howard (not pictured) at the E3 gaming convention in Los Angeles, California, U.S., June 13, 2019. REUTERS/Mike Blake/File Photo

 

(Reuters) - Tesla Inc CEO Elon Musk on Thursday said that owning bitcoin was only a little better than holding conventional cash, but that the slight difference made it a better asset to hold.

 

"However, when fiat currency has negative real interest, only a fool wouldn't look elsewhere," Musk said in a tweet. "Bitcoin is almost as bs as fiat money. The key word is 'almost'."

 

He also defended Tesla's action to invest in bitcoin, saying that the difference with cash made it "adventurous enough" for the S&P 500 company to hold the cryptocurrency.

 

Tesla's $1.5 billion bitcoin purchase set the cryptocurrency soaring toward this week's record peak above $50,000 while Musk's recent promotion of dogecoin on Twitter also lifted the price of that cryptocurrency.

 

Bitcoin was steady just below a record peak of $51,284 on Friday.

 

-- © Copyright Reuters 2021-02-19

 

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[tribalfusion001]

He is correct, I've made £1500 in less than two days using trading bots.

[Whale]

But did Tesla buy all that bitcoin just to push up the price? Are his actions and words just part of Tesla's investment strategy.

[KannikaP]

5 minutes ago, Whale said:

But did Tesla buy all that bitcoin just to push up the price? Are his actions and words just part of Tesla's investment strategy.

Who cares if you already hold BTC.

 

[1FinickyOne]

19 minutes ago, Whale said:

But did Tesla buy all that bitcoin just to push up the price? Are his actions and words just part of Tesla's investment strategy.

just ask him, next time you see him..

[Dagfinnur Traustason]

1 hour ago, snoop1130 said:

Elon Musk on Thursday said that owning bitcoin was only a little better than holding conventional cash, but that the slight difference made it a better asset to hold.

Sounds like a real crypto pro, if you ask me. ????????????????

[Dagfinnur Traustason]

43 minutes ago, Whale said:

But did Tesla buy all that bitcoin just to push up the price? Are his actions and words just part of Tesla's investment strategy.

Take a wild guess.

[sanuk711]

I don't know a lot about this subject---So Just asking.......

 

So there are 21 million Bit coins

18.5 million are in circulation

What happens when the other aprox-2.5 million get mined ?

Does all Mining then stop?

If the number of Bit-coins is Finite  (unlike Gold Silver etc)

Then when Mining has stopped --doesn't that affect the price downwards?

If Bit coins cant be obtained --you cant trade in them.

 

There are only 21 million bitcoins that can be mined in total. Once bitcoin miners have unlocked all the bitcoins, the planet's supply will essentially be tapped out. Currently, around 18.5 million bitcoin have been mined; this leaves less than three million that have yet to be introduced into circulation--Dec 2020

[Dagfinnur Traustason]

22 minutes ago, sanuk711 said:

I don't know a lot about this subject---So Just asking.......

 

So there are 21 million Bit coins

18.5 million are in circulation

What happens when the other aprox-2.5 million get mined ?

Does all Mining then stop?

If the number of Bit-coins is Finite  (unlike Gold Silver etc)

Then when Mining has stopped --doesn't that affect the price downwards?

If Bit coins cant be obtained --you cant trade in them.

 

There are only 21 million bitcoins that can be mined in total. Once bitcoin miners have unlocked all the bitcoins, the planet's supply will essentially be tapped out. Currently, around 18.5 million bitcoin have been mined; this leaves less than three million that have yet to be introduced into circulation--Dec 2020

The short answer is: Yes there can only be a certain amout of bitcoins, and no that will not affect the price. If it did, it can only make it more valuable, as people tend to lose bitcoins all the time. The rest you just have to study. It will be a whole book, so can´t hack it in this forum.

[donnacha]

3 hours ago, snoop1130 said:

Tesla's $1.5 billion bitcoin purchase set the cryptocurrency soaring

Nah. That was announced last week. The price has been soaring since mid-December, having already quadrupled over the previous nine months.

Things should slow down a bit by the end of this month after it breaks 60k. Then we should see a few more periods of high growth during the year, probably settling somewhere north of 200k by the end of this year. 

 

Edited February 19, 2021 by donnacha

[donnacha]

1 hour ago, sanuk711 said:

Then when Mining has stopped --doesn't that affect the price downwards?

If Bit coins cant be obtained --you cant trade in them.

As demand increases, the price will rise and people will trade Satoshis.

Each Bitcoin contains a million Satoshis. We are never going to run out of tradeable items to set the market price. 

[Dazinoz]

11 hours ago, donnacha said:

Each Bitcoin contains a million Satoshis.

Actually its a 100 million Satoshi to 1 Bitcoin.

[Dazinoz]

12 hours ago, Dagfinnur Traustason said:

people tend to lose bitcoins all the time.

Saw something the other day where they say millions of BTC have been lost and think total in circulation might only be around 17 to 18 million when the 21 million have been mined.

 

Don't know how they determine how many lost. I guess one way would be to look at the many inactive wallets and how much in them.

[whaleboneman]

11 hours ago, donnacha said:

Nah. That was announced last week. The price has been soaring since mid-December, having already quadrupled over the previous nine months.

Things should slow down a bit by the end of this month after it breaks 60k. Then we should see a few more periods of high growth during the year, probably settling somewhere north of 200k by the end of this year. 

 

you're so funny

 

[Dagfinnur Traustason]

12 minutes ago, Dazinoz said:

Saw something the other day where they say millions of BTC have been lost and think total in circulation might only be around 17 to 18 million when the 21 million have been mined.

 

Don't know how they determine how many lost. I guess one way would be to look at the many inactive wallets and how much in them.

Yeah, right! I don´t have a clue. It´s just to walk around stating that you lost 3 000 BTC. Forgot your pasword and username. That only one thing that makes the coin volatile.

 

However, it has so far served me good. Bought a pile before they reached over 100 dollar each. Some for only cent in the early days and some for about 16 dollar each up to a hundred. Have constantly been mining at the same time. Also sold half my stash in early January 2018 for 17 000 usd per coin, and reinvested at a price of 3 500 dollar each beginning of February 2019.

 

Then I sold about 70-75% again this time for a price of 46 000 usd per coin. So, far life is great. Not even an amatuer like Elon can change that. A man living on borrowed money and help from the bigger players, have an easy time investing what in reality is not his. That´s laugable!

I just have to hope that I don´t get senile before I sell all of my coins. Would be terrible to lose the password. ????

[donnacha]

18 minutes ago, whaleboneman said:

you're so funny

I presume you are not complimenting my fine sense of humor but, rather, suggesting my predictions are wrong.

When I wrote, 11 hours ago, that Bitcoin would break 60k by the end of the month, it was at 53k. I guessed that, within 9 days it would gain an additional 7k.

Since I wrote that it has covered half that distance. In 11 hours.

Also, the market cap of Bitcoin is now over a trillion dollars.

So, yeah, I'm laughing. All the way to the crypto exchange ???? 

 

Edited February 20, 2021 by donnacha

[Dazinoz]

12 minutes ago, whaleboneman said:

you're so funny

 

What is so funny about his statement?

[donnacha]

19 minutes ago, Dagfinnur Traustason said:

Bought a pile before they reached over 100 dollar each. Some for only cent in the early days and some for about 16 dollar each up to a hundred. Have constantly been mining at the same time. Also sold half my stash in early January 2018 for 17 000 usd per coin, and reinvested at a price of 3 500 dollar each beginning of February 2019.

 

Then I sold about 70-75% again this time for a price of 46 000 usd per coin. So, far life is great.

There should be an emoji for "jealous as fück" ????

Well done on spotting - or, at least, stumbling into - the opportunity early on.

I am doing pretty well myself, but I still need things to play out a bit more. Over Christmas, when it was around 25k, my family and friends thought I was insane not to sell. They thought it would all collapse again, as it did in 2017, and my chance to be set up for life would slip through my fingers. I was confident, however, that the coming year was going to be extraordinarily good for Bitcoin, a unique combination of circumstances.

If 2021 goes as I expect - and I have actually been quite conservative in my analysis - by the end of this year I will be in a position to spend the rest of my life having truly extraordinary experiences.

 

[PatOngo]

Gold, Elon, gold, get the gold price up there!

[Dagfinnur Traustason]

25 minutes ago, donnacha said:

There should be an emoji for "jealous as fück" ????

Well done on spotting - or, at least, stumbling into - the opportunity early on.

I am doing pretty well myself, but I still need things to play out a bit more. Over Christmas, when it was around 25k, my family and friends thought I was insane not to sell. They thought it would all collapse again, as it did in 2017, and my chance to be set up for life would slip through my fingers. I was confident, however, that the coming year was going to be extraordinarily good for Bitcoin, a unique combination of circumstances.

If 2021 goes as I expect - and I have actually been quite conservative in my analysis - by the end of this year I will be in a position to spend the rest of my life having truly extraordinary experiences.

 

As you have taken a chance, like many other never dare to do. That´s why it´s coming to you, and you deserve it. Just wish you are right about this year. Anyway we all know it will finally reach 100k, but not when. That´s where yours and my calculations differ a little. I think it will go sown one more time before it finally reach 100k in about 2-3 years. Anyway, you will get lucky to reap when time is due, as I suspect you already taken in a possible wait for your banking another 3 years. ????

Regarding my spotting. Hmm... in the beginning most of it was just sher luck. As you go, you get better at the game, though. Today I would say it´s 50% luck and 50% knowledge.

[Captain Monday]

I like Musk comment. I have always sat on a lot of cash. Study the blockchain and how it is being adopted by the financial industry, and governments. It is here for good and not a fad. Not sure this is the right time to get into Bitcoin but I cant think of any other asset class that has the potential for 10x+ growth over the next 7-10 years. Being largely tied up retirement account ETFs where we are way overdue for a major correction will probably ramp up to a 10 percent commitment to crypto and gold over the the short term.

[Heng]

It does pain me a bit to hold cash and gold (and that $6000 per kilo drop since mid last year stings) but one does need a hedge against crypto just in case.  Was doing around 20% liquid holdings in crypto but because of its growth, it's flipped it by its own performance.  

 

We're all guessing but I'd 'guess' that we see 100k/btc within a couple (not a few) months.   

[Surelynot]

Holding cash is always the safest investment.....you can tell because you are usually losing money or breaking even as inflation eats into it and you get poor returns.

 

The riskiest investments...bitcoin?....give the best returns......but you are taking a risk...hence the return.....you could of course lose everything if it crashes.

[Captain Monday]

20 minutes ago, Heng said:

It does pain me a bit to hold cash and gold (and that $6000 per kilo drop since mid last year stings) but one does need a hedge against crypto just in case.  Was doing around 20% liquid holdings in crypto but because of its growth, it's flipped it by its own performance.  

 

We're all guessing but I'd 'guess' that we see 100k/btc within a couple (not a few) months.   

Where is ETH headed? Tracking BTC as a percentage? 

[Heng]

14 minutes ago, Captain Monday said:

Where is ETH headed? Tracking BTC as a percentage? 

 

Sold most of my ETH at around $198 after buying in the $700s.  LOL.  Wasn't the loss that made me want to leave it, it was the mass of coins they have in the float... (not that scarcity is everything, there are plenty of 'scarce' coins that aren't going anywhere).  No idea what's been causing this latest run.

 

If it keeps running up like this I might go back and check my lesser used wallets to see what I have left.     

[ChipButty]

By the end of this year BTC up to 170k 

[cryo]

Safety is proportionally linked to risk irrespective of our thoughts and this applies to every aspect of life (fact). You can take a gamble and win big but the reverse is also equally true. I wish all those buying bitcoin the best but it is inevitable that a currency with no national backing will eventually collapse and I see a scenario where the little people will loose big time and the big boys will coin it in then start the cycle again ad-infinitum. Bitcoin like all other investments can and will eventually be owned and manipulated by the big boys for their personal gain (fact) 

 

[Proboscis]

21 hours ago, Whale said:

But did Tesla buy all that bitcoin just to push up the price? Are his actions and words just part of Tesla's investment strategy.

Here is the question: is he talking about money/Bitcoin as investments or as something you use for your normal monetary needs?

 

Of course he is talking about investments. What he does not say (probably because he has skin in the game) is that while money (in the form of tradeable currencies) is relatively stable while bitcoin is highly volitile.

 

Yes, go ahead and play the game and put some money into Bitcoin if you must but don't be stupid and put in money that you cannot afford to lose. And certainly do not borrow to invest in Bitcoin. In fact, you should never borrow to invest like that. Borrow to buy a home, sure. But not financial assets as an investment.

[J Town]

Remember what happened to tulips.

[Dazinoz]

14 minutes ago, J Town said:

Remember what happened to tulips.

No