$1,000 in Bitcoin at Tesla’s buy is worth this now

Bitcoin BTC/USD reached a new high in March 2024 and may continue to rise ahead of the 2024 presidential election.

Let’s review Tesla Inc TSLA and its Bitcoin purchases, which have significantly impacted investors.

What Happened: MicroStrategy led in buying Bitcoin for their balance sheets since 2020, but Tesla followed with a purchase announced on February 8, 2021, involving $1.5 billion worth of Bitcoin.

This purchase boosted Bitcoin’s price, making it a significant move for the cryptocurrency market.

In the first quarter, Tesla sold $272 million of its Bitcoin, which was beneficial for its profitability.

By mid-2022, Tesla reported selling 75% of its Bitcoin, gaining $936 million in cash.

Recently, Tesla reported $184 million in digital assets, likely including Bitcoin and Dogecoin DOGE/USD.

Tesla has indicated it may adjust its digital asset holdings at any time based on market conditions.

A recent report suggested Tesla moved its Bitcoin to unknown wallets, potentially signaling a future sale.

Here’s how Bitcoin’s performance compares since Tesla bought it:

• Investing $1,000 in Bitcoin: After a rough 2022, Bitcoin hit new highs in 2024 due to increased investor interest and Bitcoin ETFs.

On February 8, 2021, Bitcoin surged to $46,203.93 after Tesla’s announcement. A $1,000 investment would have bought 0.0216 BTC, now worth $1,468.65, a 46.9% increase.

If the same $1,000 had been invested in Tesla, it would be worth $758.39, reflecting a 24.2% decline.

Compared to the SPDR S&P 500 ETF Trust SPY, which now values the $1,000 investment at $1,491.58 (up 49.2%), Bitcoin has underperformed against this broader market index.

Investors in Bitcoin have often seen success over various periods, but Tesla’s purchase date doesn’t reflect this trend.

Michael Saylor of MicroStrategy urged Elon Musk to invest in Bitcoin in December 2020, which could have yielded even better results for Tesla if he had acted then.

Bitcoin reached an all-time high of $73,750.07 on March 14, 2024.

Read Next:

• If You Invested $1,000 In Bitcoin When Warren Buffett Called It ‘Rat Poison Squared,’ Here’s How Much You’d Have Today

This article was previously published by Benzinga and has been updated.