Bitcoin (BTC) held by Tesla is still worth 33% less than its 2021 purchase price, the latest data shows.
Two years to the day that Elon Musk’s firm added BTC to its balance sheet, most of the profits continue to evade the automaker.
Tesla and Bitcoin: from 1.5 billion dollars to 225 million dollars
Bitcoin and Tesla have proven to be an explosive combination ever since CEO Musk announced he would buy $1.5 billion worth of BTC.
The move in February 2021 came as BTC/USD was on its way to its first all-time high of the year, which it hit in April, topping $58,000.
Tesla’s purchase price was around $34,700 at the time, according to data from the tracking website. Bitcoin Treasures.
After selling 10% of his holdings in March of that year, Tesla became a heavyweight hodler until a surprise move announced in July 2022 saw him divest himself of 75% of his remaining coins.
That was done at a loss, as at the time, BTC/USD was trading near $23,000. In fact, the sale occurred during the second quarter of 2022, at an average of around $29,000 per coin.
Taking the hit seemed more appealing to Musk, who claimed that the reason behind the sale was not a direct comment on Bitcoin as an investment.
Tesla has since withheld 9,720 BTC, and the subsequent price action continues to deny the company any investment gains. According to Bitcoin Treasuries, Tesla still has 33% less of its remaining reserve as of February 2023, worth $225 million.
TSLA and BTC rise in tandem
Previously, Cointelegraph reported on the relationship between the Bitcoin spot price and Tesla stock, with both experiencing a broad revival in early 2023.
Related: Bitcoin Gained 300% in the Year Before the Last Halving: Is 2023 Any Different?
As of the anniversary of the Bitcoin purchase, TSLA is up 66% year-to-date, outpacing Bitcoin’s gains of just under 40%, data from Cointelegraph Markets Pro and TradingView confirm.
However, the rally has failed to capture the imagination of mainstream media, which this month chose to highlight Tesla’s 2022 net BTC losses, which in US dollar terms amounted to $140 million.
Meanwhile, Musk himself has become better known in the context of other cryptocurrencies, notably Dogecoin (DOGE), which he has given considerable publicity on social media and elsewhere since 2021.
He recently revealed that the payments would come to Twitter, which he bought last year, and that at some point they could include cryptocurrency.
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