coinedition.com
Reports stated that the recent Bitcoin rally is suspected to be the reason why Tesla, the leading electric car manufacturer, has not sold its remaining Bitcoin holdings. According to the latest financial reports filed by Tesla, 9,720 bitcoins remain from the total amount that it has acquired over the years.
This number of BTC remained unchanged throughout the final quarter of 2022, meaning that Tesla did not buy or sell any Bitcoins during this period.
Tesla’s report revealed that the average price for each of the Bitcoins in its custody is $32,099. That means the current Bitcoin price of over $23,000 brings the company’s portfolio closer to breakeven than it was a few months ago.
With the current trajectory of BTC, there may be the possibility of Bitcoin reaching Tesla’s breakeven price soon. At this point, the company may decide whether to sell off and recover its investment or continue holding the digital assets.
Tesla was among the top mainstream companies to publicize their Bitcoin investment in the early days of 2020. The company’s CEO, Elon Musk was vocal about the company’s acquisitions and prospects towards leading the crypto industry.
Moreover, the company’s interests appeared to fade after Tesla was noticed to be selling most of its Bitcoin holdings, with Musk favoring the meme coin DOGE over Bitcoin. Last year, Musk announced that Tesla sold 75% of its Bitcoin holdings. The reason he gave was the lingering Covid lockdown in China that was having an impact on their business. Since then, Tesla has made no further transactions in Bitcoin. Rather it has held on to its remaining 9,720 units of BTC
As reports suggest, rising above $32,000 might be a signal for Tesla to recoup its invested capital, considering that its early interest in the asset no longer exists.