On the back of the announcement that Tesla bought 1.5 billion dollars of Bitcoin in January, the subsequent FOMOing of Musk fanboys pushed BTC to a new all time, made trading conditions really good, as other interesting coins plummeted due to the spike, giving a decent buying position for those who had them set or, were watching the market at the right time. I was watching, but...
Mobile app:
Desktop:
Nice one Binance.
So, over to Bittrex where I had a little more luck and just as it it was near what I picked as the bottom, I got my buy in at 371 sats - exactly where it hit - only for it not to register. I did buy some a few minutes later a little higher though, so I am okay with that, but these problems with exchanges shutting down under high volume is an issue that they need to resolve quickly, as it is likely going to get busy, fast.
One interesting thing to note on Binance in this regard is the volume.
The four hour candle between the last large spike on January 29 from 32K to 38K saw a volume of 74,000 Bitcoin on it, whereas the spike from 39K to 45K only saw a volume of 56K Bitcoin traded on it. That is significantly lower, considering it is meant to be buy low and sell high. It seems that the sellers are starting to thin out, as they start to consider holding more to find out just how high this thing can go.
Which is high, if today's news from Tesla is any indication. While there has been large purchases of Bitcoin in the past from the likes of MicroStrategy and Square, this latest purchase is very hard for the mainstream to ignore - after all, it is Elon Musk buying for Tesla - and when the richest man in the world makes an investment, I am guessing it will get some traction.
Interestingly, while the purchase is likely the single largest buy in Bitcoin history, it only puts Tesla in second position as the largest corporate holder, because MicroStrategy bought most of its stack of 70,000+ Bitcoin sub-10,000. At that point, they put 250 million in, which is now riding above 3 billion worth. They added another 10 million recently at about 33,000 a coin.
While those amounts of Bitcoin are large, in the grand scheme of things, this is just a drop in the corporate ocean in regards to available resources to do similar and I suspect that many more companies are making the move, whether large or small. While the obvious drive for gains is the reason, this is also being heavily influenced by the fiscal conditions for companies, as they are being punished for holding cash on hand and, they are likely not all too keen on having their previous gains exposed to more government-led dilution.
And as we can see from today, the FOMO is real, where investors understand that being in early is important, even though it probably feels to many who have been around a while, 45,000 dollar Bitcoin isn't early. The markets are now getting more interesting to many who have held off for so long due to Bitcoin and crypto being a scam, because people who they admire are getting in. An announcement from Musk mentioning shitcoins gets them a pump that makes the Mcafee cock eating tweets back in the day seem very much irrelevant.
Unfortunately, the world we have created puts the make or break of a product into the hands of celebrities, regardless of whether there is merit to the call. But, this also means that the projects that are able to attract some celebrity, will tend to do well as people will not only be introduced, but be able to bypass a lot of the social proofing need for trust and say "If Elon believes in it..."
The low of 2020 was about 200x away from Bitcoin hitting a million. Today, it is 22x away. Getting closer.
Taraz
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