• Elon Musk joins the camp of crypto critics who do not believe in digital money dominance.
  • BTC/USD resumed the decline and dives below $8,300. 


 The head of Tesla and SpaceX, Elon Musk discussed the potential competition between fiat and digital currencies in podcast Third Row Tesla.

He emphasized that he is neither proponent nor denier of digital currencies. However, he also admitted that he found Bitcoin's white paper rather well-thought. 

According to Mask, at this stage, cryptocurrencies now serve as a bridge between illegal operations and the world of legal money. They are often used to whitewash proceeds obtained in an illegal way.

“This sort of gets the crypto people angry, but there are transactions that are not within the balance of the law. And there are, obviously, many laws in different countries. And, normally, cash is used for these transactions. But, in order for illegal transactions to occur, cash must also be used for legal transactions. You need an illegal to legal bridge. That’s where crypto comes in.”

Digital currencies found their niche in the global economy as cash usage has become increasingly difficult; however, they can hardly replace cash and be used as a primary means of payment, Musk believes.


“Cash, these days, is used much rarer. It’s increasingly difficult to use cash. Some places, you can’t use cash at all. So, there’s a forcing function for transactions that are illegal, quasi-legal, and in some cases legal. But it’s got to have both legal and illegal…

What's going on with Bitcoin

BTC/USD is changing hands at $8,275. The first digital currency resumed the decline after a short period of consolidation during early Asian hours. BTC/USD has lost 1.3% of its value since the beginning of the day amid increasingly bearish trend. 

The vital support is created by SMA100 daily on approach to psychological; $8,000. This area is also reinforced by the upper boundary of the broken downside wedge. Most likely, this support will slow down the bears and serve as a jumping-off ground for a recovery. However, once it is out of the way, the sell-off is likely to gain traction with the next focus on $7,650 (SMA50 daily).

On the upside, we will need to see a sustainable move above $8,450 for the upside to gain traction.

BTC/USD daily chart

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.

Cryptos feed

Latest Crypto News


Latest Crypto News & Analysis

Editors’ Picks

Crypto market shrinks while Bitcoin grows

The war for market share, expressed through the dominance charts, confirmed the offensive launched by Bitcoin days ago and sent Ethereum to the critical support level at 12.32, the same level where Ethereum's decline found ground the last six times.

More Bitcoin News

DOT poised to rush to $3 as social volume tanks

Polkadot has been on the retreat since it traded an all-time high at $6.88 on September 1. The initial drop in the first week of September embraced support at $3.50. 

More Polkadot News

Cryptocurrency projects jumping off the Ethereum ship due to high transaction fees

The mushrooming DeFi projects built on Ethereum cause the network overload and kill all the blockchain's advantages over the traditional banking exchange systems. 

More Ethereum News

Freefall in DeFi screams bubble busting

It has been an exciting year so far in the cryptocurrency industry. First, the market crashed excessively following the COVID-19 triggered selloff in March.

More DeFi News

BEST CRYPTO BROKERS/EXCHANGES

Bitcoin Weekly Forecast: BTC crystal ball gives bulls a faint flicker of hope

Bitcoin staged a healthy recovery this week. The pioneer digital currency price took off from the support area of $10,000 and touched the next psychological line of $11,000.

Read the weekly forecast

BTC

ETH

XRP