Bitcoin (BTC) dominated about 73% of the cryptocurrency market earlier this year. Bitcoin (BTC) fell sharply with the tweets posted by Elon Musk. Bitcoin Dominance (BTC.D) is now down 41%. Who sells Bitcoin (BTC)? Who are the ones leaving the market? Let's examine it together.
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Why is Elon Musk so influential in the cryptocurrency market? this is the question many people ask. To understand this, let's start from when Elon Musk said he invested in BTC. Elon Musk is a person known by many people around the world. Because of his active use of social media, what he says reaches many people. Besides, many media report what he says.
What he said about Bitcoin attracted everyone's attention. Even those who do not know what is cryptocurrency tried to invest in cryptocurrency. If you ask some new investors for their BTC address, there are those who do not even know what it is.
I spoke with a friend on the phone today, and I want to tell you about it. My friend called me today. He said he wanted to buy Revuto (REVU), which will be on sale with pre-sale tomorrow, but did not know how. When I tried to register on the site, he asked me for an address. “Should I write my home address here?” He said. In short, how to deposit money from the bank he knows so far and how to trade. He has never transferred from one address to another. My friend was impressed by Elon Musk's tweets and bought BTC and DOGE. Now he wants to sell them and invest in other cryptocurrencies.
Why did I tell you this? As far as I can see, Many new investors who have recently invested in cryptocurrencies do not have any knowledge about cryptocurrencies. Looking at the recent sales, generally new investors are selling their BTC. While new investors sell in panic, professional investors try to buy on the Dip. The excessive volatility in BTC is also due to this.
Bitcoin (BTC) has dropped to $ 42000 today but quickly moved away and surpassed $ 44000. It is currently trading at $ 44825. When I look at the current market data, it seems that the panic sales are starting to decrease. After the panic sales are over, Bitcoin (BTC) could start a new bull run. Even if Elon Musk sells all of his Bitcoins, I think he will not be able to harm the cryptocurrency market in the long run.
Also, the cryptocurrency market is stronger than it used to be. And such declines will cause new institutional investors to come. In short, it seems that the calm and professional investors will win as a result of this fluctuation.
Elon Musk really seems to be manipulating the crypto market to his own benefit. It's sad that one advantage cryptocurrencies gave was that they are decentralized and hence remove chances of manipulation. But it seems public figures can still do that.
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