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  • Caspar James - Tech Journalist

The value of Bitcoin hits a high of $44,220 with news that Tesla has bought about $1.5bn

With the news that Tesla, back in January, had bought about $1.5bn in Bitcoin, causing the value to rise on 8th February by 17% to a peak of $44,220. During an interview on the app Clubhouse in January, Elon Musk had suggested that he himself would be open to being paid in Bitcoin, as a financial transaction, and news today that Tesla had bought $1.5bn in Bitcoin in January, backs up his remake about trading in Bitcoin.

Over the last few years, many of us have looked upon Bitcoin as a just ‘fly by night’ currency. One of many virtual currencies, good or bad, that might or might not, succeed on the money markets as a medium of exchange, but Bitcoin was one of the first to gather momentum back in 2009 when it was created. A virtual currency, with no physical notes or coins, traded as a digital currency via blockchain. For others, just another virtual currency, that could have a short shelf life. But for a minority, this could be the future of money as a medium of exchange. It has, for some, long been associated with darker things, crime, money laundering and a method to legitimise money.

So, within the last month, Elon Musk, head of Tesla, suggesting that Bitcoin is on the cusp of being finally taken seriously as a global currency has caused its value to rise on news that Tesla has bought the currency. During his Clubhouse interview, Musk hinted that Bitcoin was a good thing, today we find out he had already bought it. This is at odds with many bankers and financial institutions, who see Bitcoin as an illicit currency, there for illegal purposes and money laundering. Back in 2013 when Musk was first asked about Bitcoin, trading then at around $1,124 he was not interested in it at all. Since September 2020, Bitcoin then $10,750 has soared by almost 400% to it present value of over $44,000. During 2019, Bitcoin had sunk to $3,870 from a peak of $13,400 in 2018.





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