Bitcoin exposure could drop 77.5%, but Tesla still has the third largest BTC holdings among listed companies.
bitcoins
BTC
stripes down
$22,414
owned by Tesla, it is still worth 33% less than its 2021 purchase price, according to the latest data.
Two years since Elon Musk’s company added BTC to its balance sheet, most of the profits are still eluding the automaker.
Tesla and Bitcoin: $1.5 to $225 million
Bitcoin and Tesla have proven to be an explosive combination ever since Musk announced that he would buy BTC for $1.5 billion.
The February 2021 move came as BTC/USD was on its way to its first all-time high of the year, which it hit in April at $58,000.
Tesla’s purchase price at the time was around $34,700, according to data from tracking website Bitcoin Treasuries.
After selling 10% of its stake in March of this year, Tesla became a heavyweight hodler until a surprise move announced in July 2022 liquidated 75% of the remaining coins.
This was done at a loss as BTC/USD was close to $23,000 at the time. The sale took place in the second quarter of 2022 for approximately $29,000 per coin.
Taking the hit seemed more attractive to Musk, who argued that the reason for the sale was not a direct comment on bitcoin as an investment.
Tesla has since amassed 9,720 BTC, and the subsequent price action still prevents the company from cashing in on its investment. According to Bitcoin Treasuries, Tesla is still 33% short of its February 2023 outstanding shares of $225 million.
TSLA and BTC are growing in tandem
Cointelegraph previously reported on the relationship between Bitcoin’s spot price and Tesla’s stock, which saw a massive rally in early 2023.
Related: Bitcoin Gains 300% Year Before Last Halving – Is 2023 Different?
Starting with the anniversary of the bitcoin purchase, TSLA is up 66% year-to-date, outpacing bitcoin’s gains by just under 40%, data from Cointelegraph Markets Pro and TradingView confirms.
However, the rebound failed to capture the imagination of the mainstream media, which this month chose to highlight Tesla BTC net losses in 2022 of $140 million in US dollars.
Meanwhile, Musk has probably become better known in the context of other cryptocurrencies, especially Dogecoin
DOG
stripes down
$0.08
, which from 2021 provides considerable publicity on social networks and elsewhere.
He recently revealed that payments will be coming to Twitter, which he bought last year, and that they could include cryptocurrency at some point.
