Elon Musk Sacrifices D.O.G.E to Save Tesla?

Tesla is sliding, bitcoin is holding steady, and Elon Musk is divisive. While the company is going through a challenging quarter, the iconic CEO of the company is trying to juggle leading Tesla, managing a strategic cryptocurrency portfolio, and his new government role with Donald Trump. Amid falling profits, a devoted loyalty to BTC, and a promise to pull back partially from DOGE, Musk is operating on multiple fronts. But what is the price to pay for Tesla? Tesla Remains Committed to Bitcoin Despite Volatility In the first quarter of 2025, Tesla held onto all of its 11,509 bitcoins. Although the company's digital asset value fell by 11.61% — dropping from $1.076 billion to $951 million — the company did not sell anything. Thanks to the recent recovery of BTC above $92,000, Tesla's cryptocurrency holdings are now worth over $1.07 billion. This choice reaffirms Elon Musk's strategic commitment to bitcoin, which he still sees as a long-term reserve asset. Financial Results Fall Strongly Tesla announced disappointing results in the first quarter. Revenue reached $19.34 billion, down 9.2% compared to the same period last year and lower than analysts' forecasts. Net profit fell 70.5% compared to the same period in 2024, reaching only $409 million. This inefficiency adds to the 37% fall in Tesla's stock since the beginning of the year. Global sales have decreased, competitive pressure has increased, and uncertainty related to customs policy has heavily impacted the results. Elon Musk Between Tesla And Trump's Politics In a call with investors on April 22, Elon Musk announced that he would significantly reduce his involvement in DOGE — The Government Efficiency Office, an initiative of the Trump administration. Musk plays a key role in combating public waste. Starting in May, he plans to spend more time on Tesla while dedicating "one or two days a week" to government issues. The renewed focus on this company has been welcomed by the market, contributing to a 5.4% increase in Tesla's stock in after-hours trading. As Tesla tries to recover from a disappointing quarter, Elon Musk is relying on a strategic refocus and the stability of BTC to reassure the market. The question remains whether the balance between this political ambition and industrial commitment is enough to revive the growth momentum of the California giant.