Elon Musk's Tweet to Buy a Tesla with Bitcoin Drives Prices Higher

Tesla, the electric car company, has begun accepting Bitcoin as a form of payment, according to a new tweet from CEO Elon Musk. He also stated that the Bitcoins paid to Tesla would not be converted to fiat currency. With this official announcement, Tesla becomes the first major automaker to accept bitcoin as payment for its products.

"You can now buy a Tesla with Bitcoin," Musk said in a tweet.

Tesla purchased $1.5 billion worth of bitcoin in February. The company said it bought bitcoin for "more flexibility to further diversify and maximise returns on our cash" in a filing with the US Securities and Exchange Commission.

For the time being, the option to buy a Tesla with Bitcoin will only be available to consumers in the United States. A new Bitcoin payment widget has been added to the Tesla website's checkout options for visitors from the United States.

Tesla will add to its already sizable bitcoin holdings, which Musk disclosed on February 8. Tesla's collection was valued at $1.5 billion at the time, but it's now worth a lot more.
On the hourly chart, BTC trades between its 10-hour and 50-hour averages, giving market technicians a sideways signal.

Bitcoin, which has more than doubled in price this year and reached an all-time high above $61,000 earlier this month, has failed to push higher on several occasions.

Bitcoin investors will be relieved by today's news, as the world's most valuable cryptocurrency has been hovering around the $55,000 mark in recent days.

The price of bitcoin has already risen as a result of Musk's tweet, which is now at $56,464.58, up 3.92 percent in the last 24 hours.