Tesla (TSLA) CEO Elon Musk Again Moves Crypto Prices

investopedia.com:

Tesla, Inc. (TSLA) CEO Elon Musk is at it again. The irrepressible entrepreneur, whose tweets are blamed for crashing the price of Bitcoin (BTCUSD) earlier this year, again moved prices in cryptocurrency markets yesterday.

At the B Word conference, Musk disclosed that his private space exploration company SpaceX owned Bitcoin and held out the prospect of Tesla allowing customers to resume purchases of its cars using the cryptocurrency. Musk also said that he owned Ethereum (ETHUSD) and provided commentary on Dogecoin (DOGEUSD).

Investors, weary of a selloff in crypto markets the previous day, bid up prices for all three coins. Bitcoin price jumped by as much as 3% to $32,805.55, minutes after a video of the conference was released. At 1:49 UTC today, Bitcoin was trading at $32,093, up 1.73% from its price a day earlier. 

The price of Ethereum also spiked by 6.3% from its morning valuation, and Dogecoin soared up by 10.9% to trade at $0.2101 in the same timeframe as a result of Musk's comments. 

Musk's boost to cryptocurrency markets was a relief to investors. Bitcoin had dipped below $30,000 on Monday, raising investor fears that crypto markets were heading into a prolonged downturn.

During yesterday's discussion, Musk said that Bitcoin has «a lot of potential.» But he discounted the possibility for the cryptocurrency's base layer to become a medium of transactions because it had scarcity baked into its design. The base layer of Bitcoin consists of its blockchain, which is slow at processing transactions and will only ever mine 21 million Bitcoin.

«The Layer 2 system can scale to become a monetary system for the world,» said Musk. Layer 2 technologies, like the Lightning Network, aim to increase the transaction