Elon Musk Standing Pat on His Crypto Holdings Amid Inflation

Tesla and SpaceX CEO Elon Musk has been known to move cryptocurrencies with his words. His latest tweet gave cryptocurrency holders hope amid rising inflation.

While geopolitical events out of Ukraine continue to be in the forefront, inflation remains a concern. Talks of stagflation continue to percolate, which could slow economic growth.

In Musk’s view, holding real assets is ideal amid rising inflation, which spiked to almost 8% based on the Consumer Price Index (CPI) in February. The U.S. Federal Reserve is set to address inflation this week as the markets are poised to see a quarter-point rate increase.

However, Musk won’t be selling his crypto anytime soon. In a tweet, he revealed that he’s standing pat on holding bitcoin, ethereum, and dogecoin.

Bitcoin continues to trade below $40,000 as it looks to try and rally again past that price level. Ethereum is holding at around $2,500, while dogecoin got a momentary 7% pop thanks to Musk’s tweet before settling to its current price of about 11 cents.

Hedging Inflation With Crypto

Cryptocurrency pundits have been touting digital assets as an ideal inflation hedge. With their ability to disassociate themselves from the effects of inflation on cryptocurrencies, Musk continuing to hold his crypto assets is an ideal move, according to MicroStrategy CEO Michael Saylor, who responded to Musk’s tweet.

For more news, information, and strategy, visit the Crypto Channel.