Daily Management Review

Musk Says Bitcoin Seems High, Says Elon Musk Says, After It Crossed $1tn In Market Value


Musk Says Bitcoin Seems High, Says Elon Musk Says, After It Crossed $1tn In Market Value
With the crypto currency bitcoin touching new record highs again as late as last Friday, the co-founder and chief of the United States based electric car maker Tesla is of the opinion that the current prices of bitcoin “seem high”.
He made this comment on Saturday.
This Friday, a major milestone was overcome by the price of bitcoin, which is the most popular and largest crypto currency, as the total market capitalization of the virtual currency surged past the $1 trillion mark for the first time. That upward movement in the crypto currency however left some major backers surprised.
Record highs have also been reached by the second largest crypto currency of the world – ethereum.
“Money is just data that allows us to avoid the inconvenience of barter,” tweeted Musk, who is a known and major proponent of digital currencies.  “That data, like all data, is subject to latency & error. The system will evolve to that which minimizes both,” he added.
Responding to a tweet by a user who said gold was better than both bitcoin and cash, Musk said in a following post: “that said, BTC & ETH do seem high lol”.
While touching a new high, the value of one bitcoin traded at under $54,000 on Friday. According to Coin Metrics, its value later rose to over $55,000 in the session. And on Saturday, the crypto currency was trading at more than $57,000 per5 coin. Over the past six months, there has been an approximate increase of about 350 per cent in the price of bitcoin.
With a gain of about 12 per cent for the entire of last week, the value of one virtual coin of ethereum also hit a record when it touched $2,040.62 on Friday. On Saturday, it was trading a bit lower at $1,996 a coin.
In recent times, there has been an increased willingness among major investors and companies to accept it as a means of transaction. Large companies such as Tesla Inc and Mastercard Inc and major main stream investors such as investing firm BNY Mellon have been more willing to adopt bitcoin. That has driven yup the prices of the virtual currency and has fuelled the gains in the crypto currency. Earlier this month, Bank of New York Mellon said that it was moving into the space.
And earlier this year, some of its balance sheet cash was also converted into bitcoin by Tesla. The company has also announced that it would be accepting the crypto currency as a mode of payment from customers for the cars it sells. These two developments had also triggered even more interest in the currency.