Billionaire and cryptocurrency superfan Elon Musk broke his silence on the current collapse in digital asset costs — and responded to a meme revealing the following sector of the financial system he expects to plunge.
Musk reacted to the steep selloff in bitcoin, the most important cryptocurrency by market cap, which briefly plunged under $21,000 — its lowest stage since December 2020.
“Cryptonight,” Musk tweeted Tuesday night time.
Musk additionally replied to a meme posted by Dogecoin co-creator Billy Markus.
The cartoon picture confirmed the grim reaper approaching a door labeled “actual property” after beforehand making grisly stops in rooms labeled “shares” and “cryptocurrency.”
“True,” Musk mentioned in response to the put up.
The billionaire has repeatedly touted investments in cryptocurrencies in recent times. In March, he declared that he “won’t sell” his holdings in bitcoin, Ethereum and Dogecoin regardless of rising inflation and financial uncertainty that has led many traders to promote riskier asserts. The world’s richest man has by no means disclosed how a lot of his wealth is tied to crypto.
Final month, Musk jabbed at fellow billionaire Warren Buffett – a famous cryptocurrency skeptic who mentioned he wouldn’t agree to purchase “the entire bitcoin on this planet” for $25.
Tesla additionally spent $1.5 billion on bitcoin in February 2021 – a transfer the electrical automobile marker mentioned would offer “extra flexibility to additional diversify and maximize returns on our money.” On the time of the disclosure, the worth of bitcoin was hovering within the $30,000 to $40,000 vary.
Bitcoin was priced at $21,363 as of Wednesday morning – a steep downturn from its all-time excessive of $69,000 final November. A number of companies, together with Coinbase and Gemini, are conducting layoffs and other belt-tightening measures owing to the onset of “crypto winter.”
Whereas Musk didn’t elaborate on his view towards the actual property sector, the housing market has just lately confirmed indicators of a slowdown following a pandemic-era growth.
As The Submit reported, mortgage demand just lately sank to a 22-year low as potential consumers take care of steep costs and rising rates of interest. The 30-year fastened mortgage charge was 6.28% as of this week regardless of hovering under 3.5% as just lately as January.
Meanwhile, real estate firms Redfin and Compass every introduced plans to slash a whole lot of jobs on Tuesday because of more and more troublesome market situations. Redfin mentioned gross sales demand in Could was 17% decrease than the corporate anticipated.