Elon Musk Declares Bitcoin as Genuine Energy Currency
Elon Musk, the billionaire and co-founder of Tesla, has reignited discussions about Bitcoin's intrinsic value, labeling it as a genuine energy-backed currency. His views conflict with Peter Schiff's warnings as massive short positions face potential liquidation if Bitcoin surges further.
Bitcoin's Energy-Driven Value According to Musk
Musk emphasized the ongoing debate on Bitcoin's value by asserting that the cryptocurrency is energy-based and difficult to counterfeit. In an interview with entrepreneur Nikhil Kamath, Musk highlighted that energy is the "true currency," which Bitcoin mirrors. Musk noted that while governments can print money, they cannot create energy, which is challenging to produce and utilize efficiently, thus fortifying Bitcoin's foundation.
He further speculated that future value systems might pivot towards energy-centric models rather than traditional financial structures. This perspective aligns with his earlier agreement that Bitcoin appreciates because energy is unprintable.
Schiff Criticizes Bitcoin as a "Fake Asset"
In contrast, Peter Schiff renewed his critique of Bitcoin, labeling it a "fake asset" and critiquing Michael Saylor's Strategy. Schiff argued that Bitcoin's price decline is due to its risk asset nature, contrasting its performance with the Nasdaq, which he believes indicates a shift towards "real assets." Schiff claimed that Strategy's inability to pay dividends without selling shares or Bitcoin resembles a Ponzi scheme, highlighting weak fundamentals. Despite these criticisms, Michael Saylor suggested new Bitcoin purchases, signaling confidence in the coin's long-term prospects.
Recent data adds to market tension, with Whale Insider revealing that over $7.8 billion in short positions could be liquidated if Bitcoin reaches $100,000.
JUST IN: $7.8 billion worth of short positions to be liquidated if $BTC rallies to $100,000. pic.twitter.com/0L4giaXqQ8
— Whale Insider (@WhaleInsider) November 30, 2025
Potential Bitcoin Breakout Amid Increasing Short Positions
CoinGlass data indicates that short liquidation leverage will rise significantly if Bitcoin surpasses $91,000, potentially forcing traders to close their short positions. Such forced buybacks could propel prices higher, triggering rapid rallies. Major exchanges like Binance, OKX, and Bybit show numerous short positions near critical resistance levels.
Further analysis identifies several factors that could drive Bitcoin to $100,000 or beyond, aligning with derivative market pressures. This suggests a significant number of traders betting on a BTC price drop contrasts with major buyers accumulating more Bitcoin. This imbalance increases the likelihood of rapid price changes if Bitcoin exceeds resistance levels.