Elon Musk’s frequent attacks of bitcoin (BTC-USD) seems to have lost him face, at least according to what people are saying about him on Twitter.
According to data shared by sentiment tracking company Awario, the positive-to-negative sentiment of tweets about Musk hit a new low in May, falling significantly around the same time cryptocurrency prices fell after Musk began criticizing bitcoin and announced Tesla would no longer accept it as a form of payment.
In January, there were almost equal numbers of tweets in favor and against Musk, but by May, the positive-to-negative sentiment ratio had dropped by around 25%, to the lowest level since Awario began tracking Musk’s mood in October 2020. Neutral tweets regarding Musk were the most popular, with roughly 66 percent, followed by negative tweets with 19.2 percent and favorable tweets with only 14.9 percent, respectively.
Awario used an algorithm to detect sentiment in numerous tweets regarding Musk by analyzing particular phrases. Many nasty comments followed Musk’s May 12 statement that Tesla will no longer accept bitcoin for purchases, as influencer and crypto enthusiast Fabri Lemus points out. After that statement, Bitcoin’s price dropped by 12%, and it has lost roughly 35% of its worth in the weeks afterwards.
Positive tweets backing Musk were also sent out in response to the revelation, but to a lesser extent. Some individuals got into Musk’s justification that the fact that Tesla still had bitcoin on its financial sheet was a huge example to other firms wishing to do the same, as crypto investor David Gokhshtein demonstrated. Gokhshtein tweeted, “Elon Musk is helping our whole #crypto business expand and acquire popularity.” “It’s not simply a DOGE thing,” says the narrator.
Of course, Musk has praised Dogecoin the most on Twitter, dubbing it the “people’s crypto” and continuously boosting it to an all-time high in May before mockingly referring to it as “a hustle” on Saturday Night Live. Following the 25% drop in Doge’s price after his SNL performance, numerous Dogecoin enthusiasts expressed their displeasure.
To be fair, Musk is unlikely to care about what others are saying on Twitter. Despite a surge in unfavorable sentiment, he increased his follower count by more than 3 million in May, bringing his total to 56 million, making him the most followed business executive account. What matters more is if it starts to affect Tesla as a company, which is something that longstanding Tesla investor and Gerber Kawasaki CEO Ross Gerber expressed concern over in a recent Yahoo Finance interview.
“Elon is wading into an area that’s maybe not the best of statements to make because the fact of the matter is bitcoin is the future of digital currencies, it’s the root of it,” he said, Musk’s attack on bitcoin’s carbon footprint and advocacy for miners to switch to more sustainable energy sources made sense, according to the report. “But I think it’s a very dangerous area for Elon to get in when he’s causing people losses like he did the other day and it turns people against him and ultimately Tesla.”