Musk’s announcement on Wednesday evening initially caused a huge 17 percent drop in the price of the world’s largest cryptocurrency, but it recovered slightly during the day.
It comes after the billionaire Tesla CEO made an abrupt turn-about when he revealed his electric vehicle company will no longer accept the cryptocurrency as payment for his cars.
His revelation, which followed months of him boasting of his and Tesla’s investment in Bitcoin, initially saw the coin’s price plunge wipe off an estimated $365 billion from the entire cryptocurrency market.
Tesla had bought about $1.5 billion worth of Bitcoin back in February around the time it announced it would accept the coin as payment, according to a Securities and Exchange Commission filing.
It means the latest drop wipes $150 million off Tesla’s Bitcoin investment.
Elon Musk made an abrupt turn-about on Wednesday when he revealed Tesla will no longer accept Bitcoin as payment for his cars as concerns grow that the creation of the cryptocurrency may be harming efforts to limit global warming
The price of the coin dropped nearly 10 percent on Thursday a day after Musk’s announcement caused a 17 percent drop in the price of the world’s largest cryptocurrency