On Monday Bitcoin plummeted $8000 following Elon Musk’s concerns over the rally. His tweet succeeded in oscillating the prices of cryptocurrency; however, this time it was not the Dogecoin.
The previous week, Musk’s tweet helped Bitcoin reach an all-time high of $58,332.36. But, his tweet this weekend resulted in the drop of crypto by $8000 in a time span of just a few hours.
The reason for the fall is said to be because of a vastly long speculative market combined with Musk’s tweet where he stated that the cost of Bitcoin and ETH seem too high.
Elon’s tweet likely backfired himself as the share of Tesla Inc slid 8.6 percent on Monday. Additionally, the slide in shares wiped off $15.2 billion from his net worth and dethroned him from being the richest person on globe.
On early February 22, the cryptocurrency plummeted over 16 percent and fell below $50,000 in New York, dropping more than $8000.
Bitcoin’s rise to over $50,000 has been fuelled by signs that it is gaining recognition among the mainstream investors and firms, from Tesla Inc and Mastercard Inc to BNY Mellon.
Rival crypto Ethereum also plummeted after hitting a record high on Saturday. It was last down 8.7 per cent at $1,765.
The drop in Bitcoin prices following Musk’s tweet shows how much control he holds. He even managed to make it rise in February. The Bitcoin price rose over $50K after Tesla bought 1.5 billion dollars in Bitcoin and following the Mastercard’s announcement.
Subscribe our newsletter and get the latest Blockchain News and update.