‘Don’t risk life savings, invest with caution’: Elon Musk advice on Cryptocurrency

Elon Musk long-time supporter of Cryptocurrency has sound advice for investors looking to make big profits from the sudden rise in the price of Bitcoin, Ethereum, Dogecoin, and others. He added while I believe that crypto is the future currency of the world, but nonetheless, people should not invest their life savings into it.

Until now in 2021, Musk’s tweets have made Bitcoin and Dogecoin prices reach a record high. On 29 January when Elon Musk changed his Twitter bio to ‘#bitcoin’, the Cryptocurrency rose from $32,000 to more than $38,000. In the following month of this year, Musk tweeted ‘Doge’ followed by another tweet ‘Dogecoin is the people’s crypto’, and ‘No highs, no low, only Doge.’ The current market cap of Doge reached approximately $78 billion more than Ford. It is the fifth most-valued Cryptocurrency in the market as per the CoinMarketCap.

When asked about the Dogecoin, Musk said, Initially Doge was invented as a joke, just to make fun of Cryptocurrency. He also added, what could be the most ironic that the currency that was invented as a joke will become the real currency. He has also seen emphasizing the fact that, “Cryptocurrency is promising, but please invest with caution.”

When asked, which Cryptocurrency is going to be the future currency of the earth? Musk replied, ‘it could be multiple.’

In the first quarter of the year, 2021 Tesla has invested $1.5 billion in bitcoin and then sold 10% of its holding just to prove the liquidity of the Cryptocurrency. This act results in a small gain in its January- March quarter financials. Elon Musk also clarified that he has not sold any of his personal bitcoin. He has retained his personal investment.

As per the CoinMarketCap data, the current market cap of Bitcoin is more the $1 trillion whereas the market cap of Ethereum is $407.71 billion whereas, Dogecoin holds the fourth position in terms of market cap.

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