Bitcoin Fails to Challenge $40K as Musk Fires Ambiguous Tweets

June 4, 2021

Bitcoin Falls $40K arsenic Musk Fires Ambiguous Tweets

By Bog& Giulvezan

Since Tesla kingpin Elon Musk expressed concerns regarding Bitcoin's environmental impact, the flagship member vogue has been connected a skid, losing more than 40% compared to April's high at $64,800.

Yesterday, Bitcoin managed to break up the $39,000 barrier but wasn't able to set back any insistence on $40,000, and today information technology dropped yet over again, currently trading in the $36,500 area. Guess why… Mr. Musk is using Twitter again to "troll" (as some would say) the crypto world.

This time, he posted some ambiguous broken heart emoji aboard "#Bitcoin", followed by some detachment memes. In response, Bobby Ong co-fall flat of CoinGecko said "Atomic number 2's trolling the community" and Tron Net founding father Justin Sun stated: "I will buy out all the Bitcoin that Elon Musk sells".

It's debatable whether this means that Tesla sold its Bitcoin assets or maybe the CEO is looking to buy more and thus, he aims to drive the price lower and buy in at a "discount". Either way, it's psychoactive to see how one man's tweets can have such an effect over inexperienced traders and how a few words can trigger double-digit losses for the world's biggest cryptocurrency.

It goes to show that we are still dealing with a very young market, in which you should never invest more than you rear end afford to lose. Funny enough, Tesla's stock price fell much than a third since February when it declared a $1.5 billion Bitcoin buy. I guess Tesla and Bitcoin are going hand in question now.

Technical Outlook – BTC/USD

The pair shows rejection around the $39,000 mark but most of this can be attributed to the modish Tesla CEO tweets, which appear to overshadow the technical aspect of the chart. Depending on how grocery store participants are taking this, the slide Crataegus oxycantha put out closer to $30,000 support but a break of that rase has a low probability of happening (at to the lowest degree as long Eastern Samoa Musk's Chirrup feed stays silent).

The Relative Strength Index and the MACD are some showing signs of bullish movement but as long as the pair stays below $40,000, we cannot put a good deal of weight on the two indicators; in some other words, wear't assume that price will go up just because the RSI and the MACD are moving slightly up.

A break of $40K would be declarative of more bulls incoming the scene but considering that the initial drop was triggered aside non-technical factors, information technology would probably consider the same type of determine to drive in price back into the green territory.