How much did Crypto Contribute to Musk’s Guinness World Record?
On January 06, Guinness World Records announced that Elon Musk has set a record for the largest loss of personal fortune in history.
Elon Musk became the first person in history to have lost $200 billion from his net worth.
Experts believe that the continuous drop in Musk's net worth is triggered by the falling prices of Tesla's shares.
Last year, the fallout of leading cryptocurrencies and major tech
Stocks significantly affected some of the key industry players. In line with this, Elon Musk, aka Dogecoin Father, suffered significant losses.
As CoinGabbar earlier reported, Tesla CEO Elon Musk became the first person in history to have lost $200 billion from his net worth. To that end, Guinness World Records on January 06 announced that Elon Musk has set a record for the largest loss of personal fortune in history.
As per the GWR’s official blog post, “Musk has lost approximately $182 billion since November 2021, as estimated by Forbes, although other sources claim that it could be closer to $200 billion.” The blog post noted,
"Although the exact figure is hard to identify, Musk's cumulative losses substantially surpass the previous record of $58.6 billion set by Japanese tech investor Masayoshi Son in 2000."
Experts believe that the continuous drop in Musk's net worth is triggered by the falling prices of Tesla's shares. However, some believe that the falling price of Tesla’s shares is related to cryptocurrencies, considering that the company is one of the largest holders of Bitcoin.
Possible Reasons Behind Musk's Net Worth Fall
In 2022, Elon Musk's Tesla stock suffered a significant shift as the economic circumstance worsened due to a significant rise in interest rates and a continuous surge in inflation.
The last 4-5 consecutive interest rate hikes by the US Federal Reserve have impacted Tesla's operations and stock price. This indicates that the primary reason behind Elon Musk's falling net worth is the plummeting price of Tesla shares.
However, several community members pointed out that the falling price of Bitcoin also affected the price of Tesla shares and Elon Musk’s wealth. A few years back, Tesla was one of the largest bitcoin holders in the world. But after experiencing operational difficulties, the company liquidated a significant portion of its Bitcoin holdings, leading Tesla’s balance sheet to plunge even further.
Furthermore, the trading community believes that Musk's chaotic $44 billion acquisition of Twitter in late October is another factor affecting his personal fortune.
Possible Plans to Cope Up
Experts believe that the only way Musk will regain his position is when the stock and cryptocurrency markets gain a bullish momentum in the long run.
However, as per experts' analysis, TESLA seems to be down approx 71% from its all-time high. Tesla recovered over 20% of its yearly low. Short covering could assist the stock return to $150-$175 as per the 23.60% FIBO retracement level. This indicates that a bull run is quite evident in Tesla stock.
In addition, following a breach of over $17,000 on Sunday, Bitcoin's price has surged to a three-week high. At the start of the new year, bulls are driving the Bitcoin price upward. Traders may be pleased that the Bitcoin price has risen past $17,400, but it has been 27 days since Bitcoin (BTC) last broke above the $17,250 barrier. The next closing above $17,500 may soon take it up to the $18,000-$18,400 level.
The Bitcoin analysis also indicates that a bull run is also evident in the crypto market. Furthermore, the Twitter community believes that Musk's acquisition of the platform will benefit him in the coming months, implying that Musk will soon reclaim his throne back.
What do you think, will Musk reclaim his throne in 2023, or will his personal fortune suffer even more? Please share your valuable thoughts in the comment section below.
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