Bitcoin Price Update: Tesla's impact on Bitcoin market value
- Tesla sells 75% of its BTC holdings for an average price of $29,000.
- Bitcoin price has not yet shown a correlation to the sudden bearish news.
- Invalidation of the bullish macro thesis remains at $13,880.
Tesla has reportedly sold 75% of its BTC holdings as the company faced Q2 cashflow constrictions. The innovative electric-powered car company sold over $950 million worth of their Bitcoin holdings for an average price of $29,000.
Bitcoin price is unnfased by Elon
CEO Elon Musk attributed Tesla's lack of cash flow to manufacturing stalemates due to the coronavirus pandemic in Shanghai. He also re-assured his confidence in Bitcoin, saying he "intends to buy more in the future."
Bitcoin price currently auctions at $22,400. The Bitcoin price has sparsely reacted to the bearish news as the uptrend channel has been breached in intra-hour time frames.
BTC/USDT 2-Week Chart
Although fundamentalists may have mathematical theories on Tesla's future impact on the original peer-to-peer crypto, the technicals are still bullishly intact. The Bitcoin market cap remains over one trillion.
From an Elliot Wave perspective, Bitcoin maintains its bullish macro stance. $13,880 is the invalidation level to call it quits. If $13,880 were to get touched, the entire macro count would be in jeopardy, and a bear market targeting the coronavirus lows at $3,500 could ensue.
In the following video, FXStreet analysts deep dive into the price action of Bitcoin, analyzing key levels in the market:
Author
Tony M.
FXStreet Contributor
Tony Montpeirous began investing in cryptocurrencies in 2017. His trading style incorporates Elliot Wave, Auction Market Theory, Fibonacci and price action as the cornerstone of his technical analysis.
