The Future of Tesla’s Bitcoin Transfers Revealed by Arkham Intelligence
Last week, the crypto community was abuzz with news of Tesla moving nearly all of its Bitcoin [BTC] holdings, valued at $760 million, to undisclosed wallets.
Speculation ran rife about the possibility of Tesla selling off its Bitcoin. However, according to Arkham Intelligence, these concerns might be unfounded.
Recent statements from Arkham Intelligence suggest that Tesla likely still possesses the BTC it transferred.
Arkham Intelligence, a blockchain analytics firm, has asserted via X (formerly Twitter) that the recent movements of Bitcoin in Tesla’s wallet were merely internal transfers.
“We believe that the Tesla wallet activities observed last week were internal rotations, with Tesla retaining ownership of the Bitcoin.”
Arkham Intelligence’s Analysis of Tesla’s Bitcoin Movements
Arkham Intelligence revealed that Tesla had not touched its BTC holdings for two years until October 15th.
The recent transfers involved dividing the Bitcoin into seven wallets, each containing between 1,100 and 2,200 BTC.
The analytics platform pointed out that each wallet received test transactions, with all but one holding a rounded Bitcoin value.
The two largest wallets, “1Fnhp” and “1LERL,” received 2,109.3 BTC and 1,900 BTC, respectively.
Other wallets such as “1D6Vh” (1,800 BTC), “16QZn” (1,700 BTC), “1QC2z” (1,600 BTC), “1Phab” (1,300 BTC), and “1MGM8” (1,100 BTC) were also part of the movement.
The purpose behind these transfers remains ambiguous, although Arkham Intelligence speculated that Tesla might be relocating the funds to a custodial service, possibly to secure a loan using the BTC as collateral.
Bitcoin’s Price Reaction to the Transfers
Interestingly, Bitcoin’s price was unaffected by the transfers. On the day of the transfers, the coin reached a peak of nearly $68,000 before experiencing a slight dip on October 21st.
As per CoinMarketCap data, Bitcoin was trading at $67,082, showing a 0.68% decline in the last 24 hours. The trading volume of Bitcoin also fell by 20.28% during the same period.
Musk’s Bitcoin Holdings
Considering that the recent transfers were likely internal, Tesla still holds 11,509 Bitcoin, valued at over $771 million.
It is worth mentioning that Tesla is scheduled to announce its next earnings report on October 23, 2024, which might provide further insights into Tesla’s Bitcoin strategy and recent wallet movements.
In addition to Tesla’s holdings, Musk’s aerospace company SpaceX also retains 8,285 Bitcoin, valued at $556 million, which have remained stagnant for two years.