When Elon Musk sneezes, Bitcoin gets cold.
When Elon Musk sneezes, Bitcoin gets cold. That is not a good feature in a currency. This currency needs to find another anchor to avoid this domino effect.
Bitcoin dropped from $29,000 to just over $25,000 twice between Thursday and Friday, sitting at about a 7% drop Friday afternoon. The fall came hours after The Wall Street Journal reported that Elon Musk's SpaceX wrote down the value of the bitcoin it owns by $373 million in 2021 and 2022, and has sold the cryptocurrency. Crypto traders saw $1 billion of losses in liquidations over 24 hours, in one of the worst sell-offs of the year. Should Bitcoin drop below $25,000, which is the cryptocurrency's next support level, liquidations could accelerate and put even more pressure on prices, analysts say. (LinkedIn News)