See how much $1,000 in Bitcoin would be worth now

Bitcoin BTC/USD reached new highs in March 2024, possibly boosting its value ahead of the 2024 presidential election.

Let’s review Tesla’s investment in Bitcoin and the profits investors could have made by following this tech giant.

What Happened: While MicroStrategy was the first to add Bitcoin to its balance sheet in 2020, Tesla made its purchase in January 2021, revealing it to investors on February 8, 2021.

Tesla announced it bought $1.5 billion in Bitcoin, causing its price to rise significantly as it was seen as a major boost for crypto’s future.

In the first quarter of 2021, Tesla sold $272 million of its Bitcoin, stating it positively impacted profitability.

By mid-2022, Tesla had sold 75% of its Bitcoin, generating $936 million in cash.

Currently, Tesla reports $184 million in “digital assets,” likely including both Bitcoin and Dogecoin DOGE/USD, which customers can use to buy from Tesla’s online store.

Tesla can adjust its digital asset holdings based on business needs and market views.

Recent reports suggested Tesla shifted its Bitcoin holdings, potentially hinting at another sale.

Here’s how Bitcoin has performed since Tesla’s investment:

• Investing $1,000 in Bitcoin: Bitcoin prices fell in 2022 due to macroeconomic challenges and events like the FTX bankruptcy.

By 2024, Bitcoin reached new highs after the approval of Bitcoin ETFs, with strong demand from financial institutions.

On February 8, 2021, Bitcoin rose to $46,203.93 following Tesla’s announcement, up from $39,621.84 the day before.

Investing $1,000 at that peak would now be worth $1,468.65, a 46.9% increase.

In contrast, a $1,000 investment in Tesla stock would now be worth $758.39, down 24.2% during the same period.

While Bitcoin has outperformed Tesla stock, it has not surpassed the SPDR S&P 500 ETF Trust SPY, which would be worth $1,491.58 today (a 49.2% increase).

Investors have seen better returns from Bitcoin than from many top stocks and market indexes, but not since Tesla’s announcement.

Michael Saylor from MicroStrategy had advised Elon Musk in 2020 to invest in Bitcoin, which could have led to better gains if acted upon earlier.

Bitcoin reached its highest value ever at $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 originally published by Benzinga and has been updated.