Musk wrote in a tweet Wednesday evening. “Cryptocurrency is a good idea on many levels and we believe it has a promising future, but this cannot come at a great cost to the environment.”

The electric vehicle company chief executive added that Tesla will not be selling any of the Bitcoin it currently holds — which amounts to some $1.5 billion, according to a February SEC filing — but will use it for transactions “as soon as mining transitions to more sustainable energy.”

In a follow-up tweet on Thursday, Musk added, “To be clear, I strongly believe in crypto, but it can’t drive a massive increase in fossil fuel use, especially coal.”

Bitcoin is made through a process called mining, which involves verifying Blockchain transactions using high-powered computers that solve complex mathematical equations.


Their traditional surplus of geothermal, hydro and wind power is rapidly shrinking. Iceland’s biggest utility said that no one would build more power capacity just to feed Bitcoin mining.

And by using coal to generate most of its power, harmful carbon emissions keep going up. Pollution from mining coins in China is expected to peak in 2024, releasing as much carbon dioxide as all of Italy, according to a study published in Nature Communications this month.

Plus, there may also be better uses for renewable power than making Bitcoin, like decarbonizing existing energy demand that relies on burning fossil fuels.
As Teslas and other electric vehicles replace gas-burning cars, they will need a lot more electricity.

Elon musk dorsey bitcoin renewable energy

The Centre for Alternative Finance at the University of Cambridge estimates it uses more electricity a year than the Netherlands.

In order to incentivize renewables further, crypto miners could sign long-term agreements to buy green electricity. That’s what major companies like Amazon.com Inc (NASDAQ:AMZN). do to help cut their carbon footprints. It’s helped fuel a boom in renewable power assets in the U.S.

In their research, ARK and Square proposed that a renewable power project could be built without a grid connection, just to power a Bitcoin operation.

That would speed up development, but also make the project riskier in the eyes of a lender as the grid connection might never materialize, making a development completely dependent on mining.

But part of the rapid decline in the price of renewables has also been thanks to cheap financing.

Elon musk dorsey bitcoin renewable energy-i

On the downside, 0.73 shows it is desirable as compelling support in the current stage while the market has tested it for times. Hence, if the market turn to a negative way again and penetrate the mainstay support, it will usher in another tamp down market momentum.

Resistance: 0.7415, 0.7492

Support: 0.7323, 0.73

EURUSD (4- Hour Chart)

The European Central Bank starts a potentially heated two-day meeting on Wednesday, yet currency options traders see a very low risk of market turmoil. Disagreements within the governing council may be key for realized volatility around chairman press conferences.
As of writing, euro fiber is trading at 1.18 around and up some .2% into the market closing. Other than this, the safe-haven dollar fell back from the three-month highs as the U.S.

Elon musk dorsey bitcoin renewable energy-x

The Centre for Alternative Finance at the University of Cambridge estimates it uses more electricity a year than the Netherlands.

GREEN

In order to incentivize renewables further, crypto miners could sign long-term agreements to buy green electricity. That’s what major companies like Amazon.com Inc. do to help cut their carbon footprints. It’s helped fuel a boom in renewable power assets in the U.S.

In their research, ARK and Square proposed that a renewable power project could be built without a grid connection, just to power a Bitcoin operation.
That would speed up development, but also make the project riskier in the eyes of a lender as the grid connection might never materialize, making a development completely dependent on mining.

But part of the rapid decline in the price of renewables has also been thanks to cheap financing.

Elon musk dorsey bitcoin renewable energy-z

I would like to see Bitcoin succeed,” Musk said. “If the price of Bitcoin goes down, I lose money. I might pump but don’t dump.”

Musk said that Tesla would most likely resume accepting Bitcoin for purchases once mining becomes less environmentally taxing. “It looks like Bitcoin is shifting more toward renewables,” Musk said. “I would want to do a little bit more diligence to confirm the percentage of renewable energy usage is at or above 50%.”

As for Tesla, Musk noted that the company’s bank balances in Europe have negative interest rates, saying it “drives me crazy.”

“We should move that into Bitcoin,” he said.

Main Pairs Movement

The market mood improved; the dollar shed some ground but with no critical level being broken. Greenback edged slightly lower against most major rivals as global indexes closed in the green.

US government bond yields were sharply up, also signaling decreasing demand for safety.

The euro pair hovers around the 1.1800 level, as caution prevails ahead of the European Central Bank monetary policy decision. The ECB is widely anticipated to maintain its monetary policy unchanged, and the general perception is that policymakers will maintain a dovish stance.

Cable is up to the 1.3700 price zone despite persistent Brexit tensions. The EU rejected the UK’s demand for a new approach to the Northern Ireland Protocol.

UK Prime Minister Boris Johnson said that there are practical steps they can take to do that, but it does not seem the Union will convene to any change.

Commodity-linked currencies were also up, with Aussie being the weakest amid discouraging local retail sales figures.

I would like to see Bitcoin succeed,” Musk said. “If the price of Bitcoin goes down, I lose money. I might pump but don’t dump.”

Musk said that Tesla would most likely resume accepting Bitcoin for purchases once mining becomes less environmentally taxing. “It looks like Bitcoin is shifting more toward renewables,” Musk said. “I would want to do a little bit more diligence to confirm the percentage of renewable energy usage is at or above 50%.”

As for Tesla, Musk noted that the company’s bank balances in Europe have negative interest rates, saying it “drives me crazy.”

“We should move that into Bitcoin,” he said.

Main Pairs Movement

The market mood improved; the dollar shed some ground but with no critical level being broken. Greenback edged slightly lower against most major rivals as global indexes closed in the green.

However, if the market slid beneath the critical support pivot in 1795, bullion will fell into a lower stage.

Resistance: 1.3665, 1.3745, 1.3896

Support: 1.36

AUDUSD (4- Hour Chart)

Aussie once slipped to the daily lowest point at 0.73, yet recovery to an intraday high at 0.736 around afterward. All thanks to risk appetite improved in global shares market, pan-commodities weathering creep up the momentum that dwindles stress to commodities-link pairs as well. However, Aussie is still very susceptible to variant contagious at the current stage.

From the technical perspective, the RSI indicator ratchets up to 47 figures from over sought nadir, suggesting a natural momentum for the short term.
For moving average side, 15 and 60 long SMA continue it descending, yet short one slowly turns into flat momentum.

Loonie dropped to the 1.2560 level, and Kiwi bounced back to 0.6960, just a step to the 0.7000 level. USDJPY continues its yesterday’s lift, climbing to the 110.30 level.

Gold retreated further, with the spot ending the day at $1,803 a troy ounce. Crude oil prices recovered, with WTI got back to $70, and Brent settles around $72.20 a barrel.

Cryptocurrencies have finally made a sharp rebound on Wednesday after a long-lasting sliding trend.

Bitcoin surged 7.80% to prices around $32100, and Ethereum skyrocketed 11% to around $2000.

Technical Analysis

XAUUSD (4-hour Chart)

Gold declined as Treasury yields rose and stocks continued their revival from fears as Australia and U.K. exacerbated in a variant pandemic. Treasury yields climbed further above 1.2% as demand for safe-haven eased, curbing bullion’s attraction.

There are so many existing incentives that the International Energy Agency expects wind and solar to account for around 12% of electricity demand by 2030, up from 5% in 2019.Wood says the new research ideas — in a paper by her ARK Investment Management LLC and Dorsey’s Square Inc. — “debunk the myth” that Bitcoin mining is damaging the environment. On Twitter, Dorsey said Bitcoin “incentivizes renewable energy.” Musk responded with one word: “True.”

JPMorgan warns of bitcoin weakness as futures get liquidated

Young UK investors choose cryptocurrencies over stocks: Survey

WeWork to begin accepting payments in cryptocurrencies

But there’s still the fact that the mining devours massive amounts of power. Bitcoin mining now uses 66 times more electricity than in 2015, Citigroup Inc.
said in a recent report.

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