The price of Bitcoin has spiked to a new all-time high today on the back of news that EV manufacturer Tesla has invested $1.5 billion into Bitcoin. The cryptocurrency's current price is now $44,790, up 8.5% in the last hour.
Most of the growth came immediately after the news broke. Bitcoin rose from $39,244 to hit a high of $43,233 in just 20 minutes, according to CoinGecko. As a result, Bitcoin is now up 11.4% in the last week, 30% in the last month and 340% in the last year.
The surging Bitcoin price did huge damage to those shorting it. On crypto exchange OKEx $57 million in short positions were liquidated, according to Glassnode CTO Rafael Schultze-Kraft.
The news broke when Tesla's latest SEC filing revealed that it had adopted a new investment policy in January with a new focus on investing in digital assets and gold. The filing stated that Tesla had bought $1.5 billion of Bitcoin. It added that the firm would now seek to start accepting Bitcoin for purchases of its products, namely its cars.
Tesla has invested $1.5 billion into Bitcoin, according to an SEC filing today.
"Thereafter, we invested an aggregate $1.50 billion in bitcoin under this policy and may acquire and hold digital assets from time to time or long-term," the filing said. The filing added that Tesla expects to begin accepting Bitcoin as payment for its products, including its cars, in the near future.
Bitcoin's price has shot up on the news, rising from $39,000 to $43,000 at press time—breaking a new all-time high....
Tesla's large Bitcoin purchase may explain one of the most important on-chain data points that analysts are watching. This is the amount of Bitcoin supply on exchanges, which has been steadily decreasing for months. Schultze-Kraft has said that this could lead to a liquidity crisis as demand outstrips supply, a bullish sign.
As analysts have noted, the supply on exchanges decreased as Bitcoin was sitting in the $30,000-$40,000 range. Ki Young Ju, CEO of on-chain analysis firm CryptoQuant.com, offered a "speculative guess" that outflows of 30,000 BTC from Coinbase could have been Tesla's Bitcoin purchases.
$1.5 Billion ≈ 38k BTC (assuming the price was 39k)
Speculative guess but I think 30k $BTC Coinbase outflows went to @Tesla
According to data from Glassnode, the supply of Bitcoin on exchanges has fallen to 2.3 million Bitcoin. That puts it back to levels last seen in July 2018.
$btc exchanges reserves (orange) *still* continues to decrease 🙂 (this 30-40k range is re-accumulation)
The sudden spike in Bitcoin's price has also reverberated around the markets. Ethereum's price has shot up a little, up 3% in the last hour to hit $1,714. Polkadot also saw a brief spike to $22.83, up 7%, before falling back to $21.72.
Top college football prospect Matai Tagoa’i is set to join football stars like Russell Okung, Odell Beckham Jr., and Trevor Lawrence by receiving his compensation in Bitcoin.
The linebacker will be paid part of his earnings via the Strike app after signing a “name, image, and likeness” (NIL) deal with the University of Southern California (USC).
The exact details of his package are not known, but some college football players, such as Shedeur Sanders, have received estimated payouts of up to $4....
The world’s largest asset manager BlackRock just debuted a new advertisement proselytizing the virtues of Bitcoin, but rather than cheer on the Bitcoin ETF issuer for its efforts, Bitcoiners aren’t happy.
The video, which is housed on the iShares Bitcoin Trust (IBIT) ETF page on BlackRock’s website, spends three minutes walking viewers through the evolution of money and key fundamentals of Bitcoin.
One of those fundamentals is Bitcoin’s 21 million fixed token supply.
While the video explains t...
El Salvador may have reached a deal with the International Monetary Fund that will see the tiny country scale back its Bitcoin law—but it’s still going to “HODL.” And it might even step up its BTC buys.
That’s according to Stacy Herbert, the head of El Salvador’s National Bitcoin Office, who wrote on X (formerly known as Twitter) Thursday that the country may even continue buying the cryptocurrency at an “accelerated pace” going forward.
El Salvador in 2021 made Bitcoin legal tender along with...
