Bitcoin rises crazily, but falls even harder.After reaching the threshold of $58000 (approximately 375000 yuan), Bitcoin experienced a sustained decline
Bitcoin rises crazily, but falls even harder.
After reaching the threshold of $58000 (approximately 375000 yuan), Bitcoin experienced a sustained decline.
On the evening of February 22nd, the price of Bitcoin suddenly plummeted, dropping from around $57000 to $46883. Afterwards, it rebounded above $52000 and fell nearly 14% within 24 hours.
On the afternoon of the 23rd, the price of Bitcoin briefly broke through $45000, breaking through the five major levels of $50000, $49000, $48000, $47000, and $46000 within the day.
As of press release, Bitcoin was trading at $45525 per coin, down more than 16% during the day, dropping nearly $9000.
According to data from Bitcoin Home Network, in the past hour, approximately 5.2 billion funds have been sold out, and in the past 24 hours, over 520000 people across the network have been sold out, with approximately 31.8 billion funds disappearing into thin air.
Not only did Bitcoin collapse, but major digital currencies also collectively collapsed.
Among them, Ethereum plummeted to below $1500, with a daily decline of more than 20%; Coin on Coin, XRP, LTC, etc. also fell by over 20%.
The Dogecoin, which Musk also liked, fell by nearly 30%. As of press release, the Dogecoin fell by more than 28%, 0.0468 dollars per piece.
Musk's "serious injury"
Bill Gates reminds retail investors to be careful
After a year of a 400% increase, the sudden and significant correction in currency prices caused the market to panic. Matt Maley, chief market strategist at brokerage firm Miller Tabak, wrote in a report over the weekend that from a technical perspective, Bitcoin is currently feeling a bit nervous: based on monthly relative strength indicators, Bitcoin is in an "extremely overbought" state.
The mainstream voices in the market are also showing signs of reversal. In his tweet last weekend, Musk said that the prices of Bitcoin and Ethereum "look really high". He had waved the flag for Cryptocurrency for many times before, and Tesla also invested 1.5 billion dollars in Bitcoin in January.
As soon as the conversation ended, Bitcoin and Tesla both plummeted on Monday, with Tesla's stock price closing down 8.55% and Musk's net asset value dropping by $15.2 billion. At the same time, they handed over the world's richest man to Amazon founder Bezos.
Before Friday trading, major US technology stocks continued to decline across the board, with Tesla falling 7.35%.
United States Secretary of the Treasury Yellen and Microsoft co-founder Bill Gates have recently become new participants in the digital currency debate.
Janet Yellen, United States Secretary of the Treasury, said in an interview on Monday that Bitcoin is a "highly speculative asset" with a high degree of speculation, and investors should be careful. After JPMorgan Chase announced that "Cryptocurrency is the worst hedge", it compared the recently rising price of Bitcoin to an "economic entertainment performance". Financial technology innovation is the main theme story of the financial services industry.
Bill Gates, the co-founder of Microsoft, said in an interview with CNBC earlier, "I don't own or short bitcoin, so I take a neutral view. The rise and fall of bitcoin may be based on fanatical fans or the views of all circles. I can't predict how it will develop." According to Bloomberg, Bill Gates again talked about bitcoin in an interview on Monday, saying that he is not a fan of bitcoin, Because Bitcoin mining consumes a large amount of energy and has an impact on the environment. I am also concerned about other investors outside of Musk.
"Elon Musk has a lot of money. He is very experienced, so I don't worry about him. But I do think that those who bought in the Bitcoin boom may not have so much free money. So I don't look at Bitcoin. My general idea is that if you don't have as much money as Elon, you'd better be careful," Gates said.
Rubini warning! Individual investors who are afraid of missing opportunities
Will be "cut off" by Bitcoin's high position
Nouriel Roubini, known as the "Dr. Doomsday", once again expressed criticism of Bitcoin's recent rise in value in an interview on the 22nd and warned retail investors that during Bitcoin's recent rise, those who were "afraid of missing opportunities" would be hit by investing in Bitcoin.
As in 2017, thousands of retail investors with a 'fear of missing out' (FOMO) mentality are constantly incorporating Bitcoin into their investment portfolios. Similarly, they will also be like the one who bought Bitcoin at its peak in December 2017 (being cut off) . At that time, the price of Bitcoin was $20000 per piece, but by the end of the following year, it had dropped to $3000. History will repeat itself - retail investors chase up Bitcoin because of their panic mentality, fuelling the foam, and eventually, they will be crushed. " Roubini said.
He also emphasized that the current surge in Bitcoin is driven by "large-scale manipulation", rather than the need to hedge against inflation.
Roubini stated that Bitcoin has indeed experienced significant growth in recent months, but there have also been significant fluctuations, with a drop of over 12% overnight:
Whether it's individual investors or institutional investors, they should reflect on whether they should invest in such high-risk products. And Bitcoin is certainly not a currency, not even an asset.
Many people talk about Bitcoin as a hedge against inflation, but the increase in gold is not significant either. Can only Bitcoin hedge against dollar depreciation and inflation? There must be other driving forces behind this.
I think there must be some manipulation behind the massive rise of Bitcoin.
On Twitter, he also criticized the "irresponsible" behavior of Tesla founder Mask "with top goods", which is a Market manipulation.
Musk may be purchasing Bitcoin, but others should not follow suit. Extracting Bitcoin requires significant environmental costs, and the basic value of Bitcoin is negative, "Roubini bluntly stated on Twitter. Musk first established a personal Bitcoin position to promote price increases, and then said that Tesla had invested in Bitcoin. The US Securities and Exchange Commission (SEC) should investigate those who have market influence and can manipulate asset prices, which is also a criminal act
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