Since Tesla announced in the first week of February that it had $1.5 billion worth of Bitcoin on its balance sheet, the company’s shares have fallen by more than 30%. According to an analyst, Tesla shareholders would be very supportive of the company’s announcement that it will be selling bitcoin. Moreover, Microstrategy’s shares have also fallen significantly over the past 30 days following the announcement of several Bitcoin treasure purchases.

Critics say Tesla should sell Bitcoin

After Tesla announced to the world that it had $1.5 billion worth of Bitcoin (BTC) on its balance sheet, the price of BTC rose dramatically that day. Now, 30 days later, however, it looks like Tesla (NASDAQ: TSLA) shareholders aren’t that far off from the idea. Moreover, social media and forums draw the attention of critics and even lawyers to companies like Tesla that make such decisions. Tesla stock hasn’t performed particularly well since its purchase, although the company has benefited well from BTC’s appreciation.

On the day the Tesla Bitcoin announcement went viral, TSLA stock was trading at $863 per share. TSLA is down 30.82% today and is trading at $597 per share before the market opens Monday. Former Aegon Asset Management CEO Gary Black tweeted three days ago about Tesla’s bitcoin holdings, saying shareholders would probably be happy if Elon Musk’s company sold BTC.

Imagine the positive momentum [Tesla] would create with a black tweet. If they announce the sale of their [Bitcoin] position and instead have the [Tesla] shares bought back. It’s very unlikely, but shareholders will be very supportive, he said.

However, a number of people disagreed with Mr. Black’s statements, and one person stated that he did not want them to buy back shares. I want them to invest in growth and make an extra billion dollars from their position at BTC, Black told the man. The former CEO of Aegon Asset Management disagreed, saying it made absolutely no sense.

If you go to 100 [Tesla] institutional shareholders, they will choose [Tesla] to invest $1.5 billion in BTC or $1.5 billion in [Tesla] stock, 95/100 will choose [Tesla] stock, Black said.

Black continues:

Either way, it’s extra money. But you would get a lot more billion-dollar managers active in the S&P 500 by buying [Tesla] if [Tesla] had a share buyback program instead of buying [bitcoin] with excess cash.

Purchase of micro-strategy shares Decrease of more than 50% during the last month

In the meantime, Microstrategy has been buying and using Bitcoins regularly for several months.

The fifth. In March 2021, Microstrategy announced the purchase of another $10 million in BTC and currently has 91,064 Bitcoins on its balance sheet. But Microstrategy (NASDAQ:MSTR) shares have not performed at all in the last 30 days, and have been falling since the 9th. February 2021 fell by 51.25%.

On this February day, MSTR was trading at $1,272, and today’s statistics show that the stock was trading at $620 apiece before the market closed on Friday.

What do you think of the criticism and concerns of people who say these companies should sell their bitcoin to satisfy shareholders? Let us know what you think in the comments below.

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