Giovanni Russo Sure, here’s a paraphrased version of the text:
Following the news on Friday that Spacex, under Elon Musk, had unloaded all of its Bitcoin holdings, a wave of bearish activity swept through the cryptocurrency markets. Speculation indicates that last year, Spacex sold over $370 million of Bitcoin. Ethereum also saw a decline, falling beneath $1,600.
Table Of Contents
Bitcoin
On Friday, Bitcoin (BTC) reached a two-month low, driven by the announcement that Spacex had divested itself of all its BTC assets.
After reaching a peak of $28,525.11 in Thursday’s session, BTC/USD plummeted to a low of $25,409.11 late that night.
This marked the lowest point for Bitcoin since June 16, when the price was on the verge of dropping below $25,000.
Bitcoin chart by TradingView
The chart illustrates that the 14-day relative strength index (RSI) sharply declined into oversold territory during the sell-off.
Currently, the index stands at 20.10, the lowest since January 2022, a period that coincidentally aligns with Tesla’s beginning to offload its Bitcoin holdings.
The price has since partially recovered from its earlier lows and is now trading at $26,341.67.
Ethereum
Besides Bitcoin, Ethereum (ETH) also experienced a significant downward shift, dropping below the $1,600 mark after the news broke.
ETH/USD fell to a low of $1,551.71 on Friday, a decrease of nearly $200.00 from its high on Thursday.
This represents the lowest price point for Ethereum since March 12, when it traded under the $1,459 level.
Ethereum chart by TradingView
Similar to BTC, Friday’s sell-off pushed the RSI into bear territory, with a current reading of 21.30.
This might be seen as a potential advantage for bullish investors aiming to capitalize on the dip, and to some extent, it already has, with ETH now being traded at $1,678.05.
Subscribe with your email address for weekly price analysis updates:
Weekly Technical Analysis Report
Sign up
Do you think this bearish trend will persist through the weekend? Share your opinions in the comments section below.
Frequently Asked Questions (FAQs) about fokus keyword: Bitcoin
What caused the sharp decline in Bitcoin and Ethereum prices on Friday?
The prices of Bitcoin and Ethereum plummeted on Friday following reports that Elon Musk’s Spacex had sold all of its Bitcoin holdings. The news led to a bearish wave through the cryptocurrency markets, with Bitcoin falling to a two-month low and Ethereum slipping below $1,600.
How low did Bitcoin’s price fall after the news?
Bitcoin’s price plunged to a low of $25,409.11 late on Friday night, marking the weakest point since June 16.
What was the impact on Ethereum’s price?
Ethereum was also affected by the news, dropping to an intraday low of $1,551.71 on Friday, which is its weakest reading since March 12.
Has there been any recovery in the prices of Bitcoin and Ethereum?
Yes, both cryptocurrencies have seen some rebound from their lows. As of the latest update, Bitcoin was trading at $26,341.67, and Ethereum was trading at $1,678.05.
What is the significance of the 14-day relative strength index (RSI) in this scenario?
The 14-day RSI is a momentum indicator that shows overbought or oversold conditions. In this case, it fell deep into oversold territory for both Bitcoin and Ethereum, indicating a strong bearish momentum. For Bitcoin, the index reached its lowest level since January 2022, and for Ethereum, it was at 21.30, reflecting a bear zone.
More about fokus keyword: Bitcoin
- Bitcoin Price History
- Ethereum Price History
- Spacex’s Cryptocurrency Holdings
- TradingView Charts
- Relative Strength Index Explanation
- Tesla’s Bitcoin Holdings
5 comments
Can’t belive Elon’s doing this again! First Tesla, now Spacex. What’s next for bitcoin?
ethereum seems to be following BTC trends, is it a good time to buy. thoughts?
Bitcoin at 2-month low and eth as well! Spacex selling off that’s huge. might be the right time to invest but also scary
Elon’s impact on the market is so big. How can one company selling off cause this, it’s crazy. Maybe regulations needed to stop this?
What the charts saying, RSI is so low, surely it must bounce back? i’m thinking of buying the dip.