Elon Musk Can’t Stop Talking About Bitcoin, Now His Reputation is Taking a Hit
Tesla CEO’s repeating criticism of Bitcoin has skewed the sentiments towards him on social media, and some fear this could have a negative impact on the company as well.
The price of Bitcoin has slipped back closer to $36,250 after going to $39,500 on Thursday. Basically, the cryptocurrency continues to trade in a range as expected by the market.
As we have seen for the past few weeks, weekends have been turning out to be volatile, with more red than green. Now, crypto traders seem to exit positions ahead of the volatile days before entering back into the market as the new week starts.
Another factor affecting the prices in the short term is Tesla CEO Elon Musk's inability to keep himself from tweeting about Bitcoin.
On Friday, Musk posted a broken-hearted emoji with the hashtag Bitcoin and a couple discussing breakup. He then posted a breakup comic strip and had some interaction with the tweets related to Dogecoin.
— Elon Musk (@elonmusk) June 4, 2021
With each tweet from Musk, his impact on the cryptocurrency prices is getting smaller and smaller, and at this point, the community doesn't really care about his tweets or views on Bitcoin and the cryptocurrency space.
“He’s trolling the community,” said Bobby Ong, co-founder of crypto data site CoinGecko.
Musk’s repeated criticism of Bitcoin has actually affected his reputation. According to data from sentiment tracking company Awario, the positive-to-negative sentiment of tweets about Musk reached a new low last month.
Around this time, the price of Bitcoin crashed to its 2021 low of $30k after Musk started criticizing Bitcoin and announced that the electric car maker would no longer accept BTC as a form of payment.
In January, tweets in favor and against Musk were about equal in number, which fell by about 25% in May to hit the lowest ratio since Awario began tracking Musk's sentiment in October 2020.
Tweets about him that were neutral in sentiment remained the largest by percentage at around 66%, followed by negative tweets at 19.2%, and positive tweets at just 14.9%.
Despite this, Musk’s follower count rose by over 3 million in May to top 56 million total followers. While it may not have affected Musk, some are worried it could impact Tesla as a company. Longtime Tesla investor and Gerber Kawasaki CEO, Ross Gerber, shared his concern in an interview on Yahoo Finance, stating,
“Elon is wading into an area that's maybe not the best of statements to make because the fact of the matter is bitcoin is the future of digital currencies, it's the root of it.”
While it made sense that Musk was attacking bitcoin's carbon footprint and advocating for a shift towards more sustainable energy sources, Gerber said,
“It's a very dangerous area for Elon to get in when he's causing people losses like he did the other day and it turns people against him and ultimately Tesla.”