Bitcoin (BTC) Shoots Over 20% Above $38,000 In Hours Of Elon Musk Endorsing It
Well, well, well! The world’s largest cryptocurrency Bitcoin (BTC) has received fresh endorsement from the world’s richest man Elon Musk. Earlier today, Elon Musk changed his Twitter bio writing #bitcoin and guess what this was enough to take BTC to the moon.
Bitcoin (BTC) price shot more than $6000 or more than 20% in just 30-minutes of Elon Musk tweeting about it. Massive Bitcoin buying has ensued post Musk’s endorsement and Bitcoin is currently trading at the levels of $38,061with a market cap of $708 billion.
Elon Musk’s endorsement has helped Bitcoin break its bearish momentum which it has been through in the last two weeks. Just after changing his Twitter bio, Elon Musk made another tweet stating "In retrospect, it was inevitable”.
Elon Musk, however, is not the first tech giant to openly endorse Bitcoin. Just few months back in 2020, Twitter and Square CEO Jack Dorsey also changed his bio to “bitcoin” showing support for the crypto. Square Inc has also invested $50 million aka 1% of its cash reserve in Bitcoin last year when BTC was trading below $20,000 levels.
The recent price surge has helped Bitcoin break its all past resistance and it remains to be seen if Bitcoin (BTC) can continue this momentum going further. BTC is now less than 10% away from its all-time high above $41,500 levels.
Elon Musk’s endorsement to Bitcoin comes just a time when there a massive uproar on Wall Street about the recent escalation of the GameStop (NYSE: GME) stock. Cutting long story short, a Reddit community ‘WallStreetBets’ of retail investors took the GME stock to the moon leaving hedge funds to books billions of dollars in losses.
Things escalated on Thursday after popular trading app Robinhood restricted trading for the GME stock, and action that received solid backlash from retailers. Elon Musk has been tweeting in favour of the retail investors and there’s a huge call for decentralization among industry players. Hence, it seems it was inevitable for Musk to tweet about Bitcoin.
Interestingly, Robinhood has today restricted trading for cryptocurrencies citing ‘extraordinary market conditions’. As per the CNBC report, users have been restricted on making any fresh deposits to the app and can purchase crypto only through previously deposited amounts.
A Robinhood spokesperson said: “Due to extraordinary market conditions, we’ve temporarily turned off Instant buying power for crypto. Customers can still use settled funds to buy crypto. We’ll keep monitoring market conditions and communicating with our customers.”
Along with Bitcoin, the overall crypto market has rallied today moving again past $1 trillion. In last 6 hours, the overall crypto market cap has added another $100 billion.