BTC continued the downward trend of the previous week, and the price of BTC hit a low of $39,000. This has been the lowest point of BTC in the last three months. According to the industry, it is called a break down. BTC has opened a downward channel. However, this does not mean that the price of BTC will definitely continue to fall, because BTC has a high control feature, and it does not rule out that capital giants will harvest short contracts by pulling up. I will not analyze the price trend of BTC, because there is no obvious bad news in the market at present, and it will not cause systemic risks.
Many people believe that the price drop of BTC is directly related to a message posted by Elon Musk on Twitter, thinking that he collapsed BTC. Elon Musk said a word when arguing with BTC supporters on Twitter. It was understood that he and Tesla had already sold BTC and had to devote all their energy to BTC. Subsequently, BTC sell orders on COINBASE surged, and the panic in the market also increased, resulting in a stepping on the BTC market in a short period of time.
Just last week, Elon Musk announced that Tesla would no longer support BTC payments, on the grounds that BTC wasted resources is bad for the environment, and he would look for new cryptocurrencies as payment channels. Then there was a wave of decline in BTC. BTC dropped by nearly ten points in a single day on May 13, causing the price of BTC to fall below the $50,000 mark. In the previous article, I also analyzed the matter, thinking that Elon Musk was only the cause of the incident, and the real reason is that the market for BTC is not good. BTC has been trading sideways for a long time, which has led to increased pressure on the market, and the high selling pressure is the main reason for the decline in the price of BTC.
A few words from Elon Musk caused panic in the BTC market, which is known for its stability and value preservation.
But the explanation of the last incident has passed, so how to explain this incident? What method can be used to whitewash Elon Musk? Elon Musk’s two consecutive unfavorable comments on BTC have caused the price of BTC to fall sharply. This cannot be explained by coincidence. This is enough to show that Elon Musk's star effect is too significant, and his one sentence is enough to affect the price trend of BTC, and even the trend of some copycat cryptocurrencies. To be honest, the current BTC market already has a sense of panic, and it is not impossible that a word of Elon Musk will cause the price of BTC to fall.
Although Elon Musk urgently clarified that Tesla did not sell any BTCs, the panic in the market has spread. As of press time, the price of BTC is still around US$39,000-41,000, which proves that netizens are still on the sidelines and are not very optimistic about the outlook for BTC. However, although BTC's current high position holding pressure is very high, resulting in losses for position holders, they do not want to cut meat at this price. After all, there is no real bad news in the market now. BTC still has a chance to rebound. It all depends on the meaning of the capital giants.
But this is not a normal phenomenon, nor is it the normal performance that a self-proclaimed decentralized monetary system should have. People who support BTC often say that BTC has become a high-consensus cryptocurrency system, and its stability is unshakable. Believing that BTC is a decentralized cryptocurrency, it will not be affected by any country or individual, and there is no way for major countries including the United States to take BTC. There is also a total of 21 million BTCs that will not change, so BTC is an encrypted currency system that will never depreciate, and BTC will be a hedging tool for currency devaluation.
BTC is so good, how can it become so fragile in front of capital giants such as Elon Musk?
Since BTC is so good and has so many advantages, how can Elon Musk collapse with a few words? Where is the consensus system and stability that has been said, so it can't stand the test of Elon Musk? I remember that Max once stated at the beginning of the month that he sold BTC once to test the market pressure of BTC. At that time, the price of BTC did not fall, and the price of BTC generally rose during the day, so Elon Musk said that BTC passed the stress test of selling. Was it just a hype that time, in fact Elon Musk only shot a few BTCs?
You must know that although Elon Musk is very rich and holds a large amount of cryptocurrency, he is still a little brother in the entire cryptocurrency market. The real capital giants in the cryptocurrency market did not make a statement. The real giants, including the founder of Ethereum, Vitalik Buterin, are the biggest BOSS-level figures in the cryptocurrency market. A word of Elon Musk can have such a big impact on the cryptocurrency market, allowing BTC to break down continuously within a week. Then Vitalik Buterin's words may cause a tsunami in the cryptocurrency market. Is the cryptocurrency market such as BTC really stable and safe?
The price drop of BTC this time should allow many people to see the truth about the cryptocurrency market. The cryptocurrency market has huge risks. The so-called decentralization and permanent preservation is a joke in the eyes of capital giants. The consensus system of BTC and other cryptocurrencies is also based on capital support. If the support of capital is lost, the consensus system of cryptocurrency may collapse in an instant. A BTC that was broken by a few words of Elon Musk, what stability and consensus are still talking about, of course, other cryptocurrencies are not much stronger.
