Elon Musk, the planet’s third-richest man, said last weekend that he supported cryptocurrencies in their imaginary battle with forced circulation (fiat money). But his tweet did not reflect positively on the value of Bitcoin and Co. at all.
“In the battle between fiat money and cryptocurrencies, I support the latter,” Elon Musk tweeted over the weekend. He was responding to a question from one user who wanted his opinion of people who didn’t like Musk’s recent announcement that Tesla would no longer accept Bitcoin as a means of payment. This is due to the energy intensity of Bitcoin mining and the related use of fossil resources.
But Elon Musk’s support for Bitcoin didn’t help much. The value of the oldest cryptocurrency continued to decline over the weekend, writing off more than ten percent on Sunday. In the last week, Bitcoin has weakened by about a third and is about half as cheap as this year’s highest level. Other cryptocurrencies, especially Ethereum, which until recently reached almost $4.5 thousand, have also been affected by similar developments. Currently (Sunday evening Central European Summer Time) it is trading just above the $2,000 mark.