I didn't touch crypto once Elon Musk joined. The dip that cost pain to crypto investors that you mentioned followed Elon Musk. I knew that was going to happen. Now that Elon Musk left for now, now crypto investors can safely rejoin the crypto market.
I don't think so. Elon Musk must have stayed away from Bitcoin but that doesn't mean he is gone. As far as I know, he is still around cryptocurrencies but he mostly talks about dogecoin now. He also said that he is still positive about Bitcoin, he just doesn't like the energy consumption of it.