In the early hours of Friday morning, the Bitcoin instigator is back again to stir the digital bowl with another tweet, this time a brief tweet bearing the word Bitcoin next to a broken heart with a meme.
The crypto tweet hinted at Elon Musk’s potential breakup with Bitcoin, which is currently down 42% from its all-time high of $65,000 in mid-May.
Musk had already sparked the sell-off by manipulating tweets and influencing the world’s largest cryptocurrency since last month, arguing with environmental concerns about bitcoin’s energy consumption.
Justin Sun, founder of Tron, moved quickly and jumped into the scene, stating:
I will buy all the bitcoins that Elon Musk sells
Several major media outlets have pointed out Elon Musk’s impact on Bitcoin, with a news headline on Bloomberg stating:
Bitcoin dips after Musk’s tweets.
Bitcoin down 5%:
Bitcoin reached a two-day high of $39,500 according to Tradingview, but fell sharply in the hours that followed, apparently in response to Musk’s latest tweet.
The world’s leading cryptocurrency fell 5%, or $2,000, in two hours to $37,500 before rebounding slightly during the morning Asian trading session.
At press time, Bitcoin was trading at $36,650, 5% lower than it was at the same time yesterday.
Over the past seven days, bitcoin prices are down 0.5% because it remains within a range-bound channel.
Analysts have warned of an imminent death cross on the longer time frame charts which is an ominous indication of the continuation of the downtrend and more pain ahead.
Musk’s continued manipulation of the market:
The impact of Elon Musk’s tweets on the Bitcoin markets is evidence that inexperienced and emotional traders are still in control enough to trigger this volatility by panic selling from a celebrity tweeting all the time.
Institutional and professional investors who look to the bigger picture will not be easily upset by such platitudes.
There is also a narrative that Musk is intentionally trying to manipulate the markets in favor of Tesla, which may be able to mine bitcoin using solar energy in the future.