Picture used for illustrative purpose.
Bitcoin rebounded after a brief sell-off late on Wednesday sparked by news that electric carmaker Tesla Inc had sold about 75% of its holdings of the virtual token.
Tesla Chief Executive Elon Musk cited concerns about his company's "overall liquidity" as the reason for the sale.
The world's largest cryptocurrency was last up 1.04% at $23,494.57, after sliding as much as 0.5% to $23,268.92 on the news.
Tesla sold $936 million worth of Bitcoin in the second quarter, more than a year after the company bought $1.5 billion of the cryptocurrency at the peak of its massive growth and popularity.
Musk has been an outspoken supporter of cryptocurrencies. His statements on the future of crypto and disclosures about his ownership of digital assets often boost the price of dogecoin and Bitcoin.
On Tesla's earnings call, Musk said the primary reason for the sale was uncertainty about lockdowns due to COVID-19 in China, which have created production challenges for the company.
"It was important for us to maximize our cash position," Musk said. "We are certainly open to increasing our Bitcoin holdings in future, so this should not be taken as some verdict on Bitcoin. It's just that we were concerned about overall liquidity for the company."
Musk added that Tesla did not sell any of its dogecoin, a meme-based cryptocurrency that he has touted.
Tesla accepted Bitcoin as payment for less than two months before stopping in May 2021. Musk has said the company could resume accepting Bitcoin once it conducts due diligence on the amount of renewable energy it takes to mine the currency.
Bitcoin has been in recovery mode so far this week, in line with the stock market, as investors appear more optimistic about the U.S. Federal Reserve's ability to rein in decades-high inflation.
The announcement marks an important step in the acceptance of cryptocurrencies use in commerce.
Tesla customers can now buy its electric vehicles with, its chief, Elon Musk, said on Thursday, marking a significant step forward for the cryptocurrency’s use in commerce.
Bitcoin regained some of the losses sustained after Elon Musk said that Tesla would stop accepting the digital tokens as payment for its cars, and was trading at nearly $50,000 on Thursday.
Abdulla Bin Touq Al Marri, Minister of Economy, held a bilateral meeting with Bruno Le Maire, the French Ministry of Economy, Finance and Industrial and Digital Sovereignty,
The Central Bank of the UAE (CBUAE) and the Central Bank of Egypt (CBE) have entered into a Bilateral Currency Swap Agreement between the UAE Dirham (AED) and the Egyptian Pound (EGP).
Dr Thani Bin Ahmed Al Zeyoudi, Minister of State for Foreign Trade, held talks with Zafrul Aziz, Minister of Investment, Trade and Industry for Malaysia,