The stock price of Tesla is down 30% since Bitcoin (BTC) purchase on the part of Tesla, raising questions about Netflix and iPhone investment.
Elon Musk, the chief executive of Tesla, is known for being a huge buyer of cryptocurrency. His company bought 1.5 billion worth of Bitcoin, pushing BTC value to about $43,730 per Bitcoin. Tesla also added that in the future, it might accept payments in Bitcoin.
Tim Draper’s Opinion
Bitcoin expert Tim Draper has suggested the biggest companies like Netflix and Apple invest in Bitcoin as they have so much cash in hand. He said on the Panel held on Thursday 2021 at the Montgomery Summit, those big companies like Apple CEO have a lot of cash in hand, he suggested that they should buy and invest in Bitcoin as the dollar is drifting down slowly. He also added that because the government is printing so much money, companies’ assets worth will be lower in the span of two to three years.
Draper told in a podcast held earlier this week that Netflix is going to be the next investor of Bitcoin. Draper, who has bought cryptocurrency in bulk amounts back in 2014, has made a fortune. He predicted that people would soon shift from dollar to crypto wallets if more products can be bought with it. The investors will eventually want Bitcoin in Apple Pay.
Due to the high volatility of Bitcoin, the billionaire founder of Microsoft, Bill Gates, has warned people about cryptocurrency. Musk owns tons of money, and he is very sophisticated with it, so people with lesser money than Elon should watch out for. He also said to the host Andrew Sorkin on invite-only chat app that Bitcoin is known for its volatility, and he always chose to put his cash into companies that make the product.
Many investors are confident that Bitcoin price will increase, but Microsoft owner Bill Gates still believes that Bitcoin has a high volatility rate. Although Elon Musk has made billions with the digital gold, it stills comes with the added risk, says the analyst Daniel Ives.