Musk’s tweets seem to have a great impact on the cryptocurrency market and its users. The Tesla CEO drove the cryptocurrency to nearly $65,000 earlier this year when Tesla revealed it would take Bitcoin as a form of payment and also HODL BTC. However, the good news did not last for BTC users to celebrate the momentum.
Not long after, Elon Musk posted a tweet stating that Tesla will not accept BTC as a payment method. He cited that BTC mining is not environmentally friendly, causing the crypto’s price to fall dismally. As a result, Musk’s tweets are said to have an impact on the crypto field, although some respondents state that they will lose effectiveness in the future.
To support the statement, even after Tesla CEO Elon Musk’s latest tweet on July,1, Dogecoin has not skyrocketed in price. The cryptocurrency is currently trading at half the price of its all-time high of $0.76 on May 8, 2021, at the time of writing. This is a hint that Elon Musk’s influence in the crypto market no longer has an impact as before.
- 71.10% of the respondents note that they have traded cryptocurrency.
- The majority 57.03% say the Chinese financial authority’s decision to ban crypto trading within its borders caused the crypto market’s recent decline.
- Notably, 49.99% note that Elon Musk’s future comments do not affect the crypto market fluctuation.
- Tesla not accepting BTC as a payment method affected the crypto market the most.
Amazingly, 71.10% of the Respondents Have Traded Cryptocurrency
The Real Research online survey application reveals that 71.10% of the respondents have traded cryptocurrencies. This shows that crypto is gaining mainstream across the globe as compared to a decade ago. With many people trading cryptocurrencies, there are always on the watch to see if the cryptocurrencies are increasing in value.
On the other hand, 28.90% note that they have never traded cryptocurrencies before. However, the number is far less than those who have traded cryptocurrencies. Therefore, cryptocurrency is gaining popularity, amongst investors, companies, and individuals at large.
Chinese Ban Caused Cryptocurrency Market Decline
The Real Research survey asked respondents the reason for crypto crash that occurred. Among the reasons, 57.03% say that the Chinese financial authority’s decision to ban crypto trading within its borders caused the crypto market’s recent decline.
Beijing placed a ban on banks and payment firms from providing services related to cryptocurrency transactions. After the news, the price of Bitcoin plunged, causing a crypto crash. Similarly, the Ethereum price also dropped because of the announcement. More so, the Dogecoin price fell by more than 20%.
Following then, 15.78% say the fact that mining cryptocurrency uses up too much electricity is the reason for crypto crash. Hence, the decline in Bitcoin price, Ethereum price, Dogecoin price among the list. Meanwhile, 7.08% say Elon Musk’s tweets contribute to the crypto crash.
Apparently, the Tesla CEO and prominent crypto figure — Elon Musk, has been posting tweets on cryptocurrency. He has even attained the name ‘Dogecoin father’ resulting from his Dogecoin tweets. Moving on, 2.94% say it’s due to the unstableness of the cryptocurrency market. Additionally, 0.87% are pointing at investors selling off their crypto to buy gold.
Elon Musk’s Comments Have no Effect on the Crypto Market Fluctuation (49.99%)
49.99% of the respondents have stated that Elon Musk’s comments have no impact on the future of the crypto market. Elon Musk posted a tweet stating that Tesla will not accept BTC as a payment method.
Tesla & Bitcoin pic.twitter.com/YSswJmVZhP
— Elon Musk (@elonmusk) May 12, 2021
As a result, the Elon Musk crypto tweet caused Bitcoin price to fall while Tesla shares also dipped. Elon Musk cites the reason that mining Bitcoin is too hard on the environment. Thus, Tesla would not accept it for EV purchases until the production of the coin becomes more eco-friendly. However, it is alleged that later on, he changed his decision.
Consequently, as the year began, Musk’s tweets caused a significant rise in the price of Dogecoin. However, the recent Elon Musk crypto tweet on Dogecoin on July 1, 2021, did not contribute much to the crypto’s increase in price. On another note, 28.32% say people’s credibility on the cryptocurrency will decline as the market fluctuates due to Musk’s comments. While 12.72% say ‘I don’t know’.
Tesla ‘Will Not Accept BTC Payments’ Affected the Crypto Industry Most
Without a doubt, Elon Musk has become popular in the crypto industry because of his tweets regarding cryptocurrency. He has posted various tweets and Real Research asked the respondents which tweet they thought most affected the crypto market. Also, which do they feel caused the crypto crash?
Firstly, 55.38% chose the comment which said ‘Tesla will no longer accept Bitcoin as a payment method’. Secondly, 26.51% chose the comment which includes a picture that may have implied the rise of Dogecoin’s value. Furthermore, 4.13% acknowledge that it’s the comment made on SNL that includes Musk jokingly saying that Dogecoin is a “hustle”.
Bitcoin has also been cut in half over the past two months, briefly falling below $40,000 at the time of writing. After topping $64,000 in April, BTC has struggled to reclaim its all-time highs. Furthermore, Real Research asked if Elon Musk’s comments are appropriate. 56.53% said ‘Yes’. On the other hand, 43.47% say ‘No’.
In conclusion, the Real Research survey results show that cryptocurrencies are gaining popularity across the globe. Most respondents have traded cryptocurrencies. Even more, Digital currencies crashed hard following Elon Musk’s BTC tweet and China’s latest regulatory blow against them, wiping out nearly $400 billion in total market value.
|Survey Title||Public Opinion on Elon Musk’s Comments Regarding Cryptocurrency|
|Duration||May 26 – June 02, 2021|
|Number of Participants||174,594|
|Demographics||Males and females, aged 19 to 99|