Elon Musk stood up for cryptocurrency, but the market continues to fall
Tesla CEO Elon Musk confirmed that he still supports cryptocurrencies and thinks they are better than fiat. Even despite massive sell-offs.
Recently, an avalanche of criticism came down on the billionaire. Earlier, he announced that Tesla would no longer accept bitcoin for payment, citing the fact that mining cryptocurrency is harmful to the environment.
China’s cryptocurrency crackdown
Bitcoin began to fall when it became known that Tesla would not accept it for payment. The news from China increased pressure on the market. Chinese authorities also voiced concerns about the environmental consequences of bitcoin mining.
In addition, Chinese officials announced that financial institutions will be prohibited from participating in services related to cryptocurrency.
While bitcoin and the rest of the digital coins were going downhill relentlessly, members of the cryptocurrency community asked Musk to explain his stance on cryptocurrencies. Many were angry that Tesla would no longer accept bitcoin payments.
Elon Musk still supports cryptocurrency
“The real battle is between fiat currencies and cryptocurrencies. In general, I support crypto,” he replied.
Earlier, he said he had not sold his investments in DogeCoin (DOGE). “I have not and will not sell my Doge.”
Bitcoin under attack
Musk’s comments, meanwhile, did not impress the cryptocurrency market. Over the weekend, the cryptocurrency fell in price by more than 14% and the decline continues. On Sunday, the coin tested the $33,800 mark. The cryptocurrency price has been declining for the fourteenth day in a row.
BTC’s bearish dynamics reflected on the market as a whole. Altcoins are also suffering losses. The total market capitalization fell to $1.3 trillion, having almost halved in two weeks.
