Riot Blockchain Inc. (RIOT), a cryptocurrency miner, experienced a rapid increase in its stock prices following the announcement of businessman Elon Musk. The incident is the second of its kind but possibly not the last.
In Monday’s session, Riot Blockchain Inc. (RIOT) shares rose 14.08% to close at $35.40. The stock volume remained 25.49 million shares, which was higher than the average daily volume of 20.68 million shares over the past 50 days. Over the past year, RIOT shares have risen by 1445.85%, and over the past week, they have risen by 22.83%. Over the past three months, the stock has lost -44.19%, while over the past six months, it has gained 279.01%. Additionally, the company has a current market value of $3.04 billion, and its outstanding shares are 83.16 million.
The CEO of Tesla Inc. (TSLA) said the company might sell EVs for Bitcoin again. The value of bitcoin rose above $40 thousand as a result of these words. As a result, the price of Riot Blockchain company shares also moved up, as the company is engaged in mining, the “exchange” of computing power for cryptocurrency.
Earlier this year, Elon Musk launched the Bitcoin and RIOT stock rally by announcing that Tesla electric vehicles would be purchased with bitcoin. Additionally, Tesla announced the acquisition of bitcoins for $1.5 billion. It is news that encouraged the cryptocurrency owners but also inspired optimism for Riot Blockchain investors. Tesla stopped accepting bitcoins in May 2021; Elon Musk explained this was due to concern about the harmful effects of energy-intensive mining on the environment. It resulted in a decrease in bitcoin and RIOT stock prices.
Tesla Motors founder Elon Musk has been repeatedly criticized for his imprudent use of social networks, dramatically affecting stock prices. Since the cryptocurrency market is unregulated, Elon Musk can say whatever he wants about bitcoin and other cryptocurrencies without fear of sanctions from regulators. So, the Riot Blockchain quotes may experience a similar impact in the future.
Riot Blockchain Inc. (RIOT) business itself has shown positive growth. In May 2021, the company “mined” 227 bitcoins, a 220 % increase over the same period last year. According to Bitcoin’s current value, this is about $ 8 million at $35k for a Bitcoin. Throughout April and May, Riot Blockchain servers mined a total of 433 bitcoins. According to the company, by the end of the quarter, it will have installed an additional thousand S19 Pro servers for mining, which will result in an increase in bitcoin production for June.