Elon Musk Remains Bullish on Dogecoin, Bitcoin, and Ethereum
KEY POINTS
- On Sunday, billionaire Elon Musk tweeted to his 77.9 million followers on Twitter that he will not sell any of his cryptocurrency holdings "when inflation is high."
- The most recent Labor Department data show that the primary inflation gauge -- the consumer price index -- was up 7.9% for February, marking the highest level in 40 years and the 10th straight month it was higher than 5%.
- In the past, Musk has publicly disclosed that he owns Bitcoin, Ethereum, and Dogecoin.
The CEO of Tesla and SpaceX tweeted that he's not selling any of his crypto during this time of high inflation.
On Sunday, billionaire Elon Musk tweeted to his 77.9 million Twitter followers during an exchange about the impact of high inflation on various asset classes. Musk announced that he believes cryptos are a good investment and that he will not sell any of his cryptocurrency holdings.
"As a general principle, for those looking for advice from this thread, it is generally better to own physical things like a home or stock in companies you think make good products, than dollars when inflation is high. I still own & won't sell my Bitcoin, Ethereum or Doge fwiw ," Musk stated in his tweet.
The CEO of Tesla and SpaceX has publicly shared before that he owns Ethereum, Dogecoin, and Bitcoin. The Tesla enterprise is the second largest non-crypto-exchange corporate owner of Bitcoin in the world with 38,300 Bitcoin on its balance sheet -- second only to MicroStrategy.
Inflation continues to climb
While Musk is not a financial analyst, his own practices regarding asset management during rising inflation make sense. All he was saying is that whatever assets you invest in need to produce returns that are greater than inflation, otherwise you're losing money. Given the recent and enduring inflation trend, that's becoming more challenging.
In fact, the Labor Department data released last week show that the primary inflation gauge -- the consumer price index -- was up 7.9% for February, marking the highest level in 40 years and the 10th straight month it was higher than 5%.
The three cryptos that Musk mentioned all produced significantly higher returns than inflation in 2021:
Our top crypto play isn't a token - Here’s why
We’ve found one company that’s positioned itself perfectly as a long-term picks-and-shovels solution for the broader crypto market — Bitcoin, Dogecoin, and all the others. In fact, you've probably used this company's technology in the past few days, even if you've never had an account or even heard of the company before. That's how prevalent it's become.
Sign up today for Stock Advisor and get access to our exclusive report where you can get the full scoop on this company and its upside as a long-term investment. Learn more and get started today with a special new member discount.
- Bitcoin was up 60%
- Ethereum was up 450%
- Dogecoin was up 3,100%
While this is not financial advice and investors should always do their own research while only investing what they can afford to lose, the richest man on the planet sees crypto as a worthwhile store of value during this period of record-level inflation. He might be onto something.
Alert: our top-rated cash back card now has 0% intro APR until 2025
This credit card is not just good – it’s so exceptional that our experts use it personally. It features a lengthy 0% intro APR period, a cash back rate of up to 5%, and all somehow for no annual fee! Click here to read our full review for free and apply in just 2 minutes.
Our Research Expert
Tor Constantino is a corporate communications executive and business writer with an MBA. Since 2017, he has written about cryptocurrencies, blockchain, and crypto's potential to revolutionize finance. His writing has appeared in outlets including Entrepreneur, Forbes, Fortune, CEOWorld, and Yahoo!.
We're firm believers in the Golden Rule, which is why editorial opinions are ours alone and have not been previously reviewed, approved, or endorsed by included advertisers. The Ascent, a Motley Fool service, does not cover all offers on the market. The Ascent has a dedicated team of editors and analysts focused on personal finance, and they follow the same set of publishing standards and editorial integrity while maintaining professional separation from the analysts and editors on other Motley Fool brands.
Tor Constantino owns Bitcoin and Ethereum.
Related Articles
View All Articles
By: Ben Gran | Published on Jan. 26, 2024
By: Steven Porrello | Published on Feb. 28, 2024
By: Ben Gran | Published on Feb. 27, 2024
By: Maurie Backman | Published on Feb. 27, 2024
By: Chris Neiger | Published on March 2, 2024