In early trading today, Tesla's share price plummeted by more than 10%, which means that Tesla's share price has fallen by 25% since it announced its investment in bitcoin on February 8.On February 8, Tesla said in a filing with the securities and Exchange Commission that it had purchased $1.5 billion worth of bitcoin.
Tesla said in the document at the time that the purchase of bitcoin was for "more flexibility to further diversify and maximize our cash return.". In addition, Tesla said it plans to accept bitcoin payments.
This week, bitcoin prices began to decline, while Tesla's share price also suffered heavy losses. In pre market trading today, it was down 9%, below the level when it entered the standard & Poor's 500 index in December last year.
After the opening, Tesla's share price plummeted more than 10%, making it 25% lower since it announced its investment in bitcoin on February 8. That means Tesla's market value has shrunk by $215 billion in about two weeks. At that time, Tesla's market value was close to the peak of $844 billion, and now it is about $620 billion.
This time, the decline of Tesla's share price also coincides with the decline of bitcoin price. Over the past 24 hours, bitcoin prices have fallen about 16%, below the $50000 mark, according to coin metrics.