Recently, Tesla, led by Elon Musk and known for being a major holder of Bitcoin [BTC], has transferred the majority of its $760 million BTC reserves to undisclosed wallets, sparking rumors of a potential sell-off.
Details of Tesla’s Bitcoin Transfer
According to reports from Arkham Intelligence, on October 15th, wallets linked to Tesla moved more than 11,500 Bitcoin to unknown wallets.
This transfer has led to questions and uncertainties within the crypto community regarding Tesla’s plans with its significant cryptocurrency investment.
Following this sizeable BTC transfer, Tesla’s cryptocurrency wallets now contain only roughly $6.74 in BTC.
The transaction, carried out in three separate phases, shifted around 3,385 BTC (equivalent to approximately $225 million) to three unidentified Pay to Public Key Hash (P2PKH) addresses.
This unexpected move has triggered widespread speculation online, with Tesla’s intentions remaining ambiguous.
Meanwhile, Bitcoin’s price, which had been trading above $67,000, experienced a slight drop to $66,500 before climbing back to $67,139.81, marking a 2.53% increase over the past 24 hours according to CoinMarketCap.
With market dynamics becoming more intense, there is speculation that Bitcoin might be gearing up for a new all-time high.
Could This Transfer be Linked to Trump’s Crypto Project?
Interestingly, Tesla’s recent Bitcoin transfer has generated a wave of speculation in the crypto community, with many drawing parallels to a rumored crypto project involving former President Donald Trump.
For instance, a user on X (previously Twitter), under the name That’s My Quant, suggested,
“@elonmusk funding @realDonaldTrump crypto project.”
Another user remarked,
“Elon about to dump Trump’s election chances. He is part of team Trump and the pro bitcoin ticket!”
This speculation may have arisen due to Musk’s recent public appearance at a rally in Butler, Pennsylvania, in support of Republican nominee Donald Trump.
Wearing a “Make America Great Again” cap, Musk openly endorsed Trump’s campaign, identifying himself as “Dark MAGA.”
He even stated,
“As you can see, I am not just MAGA, I’m dark MAGA.”
Simultaneously, Trump’s reputation within the crypto community has witnessed a noticeable uptick.
This unexpected alignment of these two influential figures has added a fresh angle to ongoing discussions surrounding politics and crypto.
Whether these speculations hold any validity or not remains uncertain.
Exploring Tesla’s Relationship with Bitcoin
Despite the speculation, Tesla’s involvement with Bitcoin has been dynamic since its bold investment of $1.5 billion in early 2021.
This move aimed to diversify cash reserves and potentially incorporate BTC as a payment method.
However, by 2022, Tesla had sold 75% of its holdings due to market fluctuations.
As of March, Arkham Intelligence data indicated that Tesla owned 11,509 BTC, valued around $770 million, positioning it as the fourth-largest BTC holder among U.S. public companies following MicroStrategy, MARA Holdings, and Riot Platforms based on Bitcoin Treasuries information.