Cryptocurrency Analysis

[IFX_Selena]

Elon Musk continues to comment on Bitcoin



While bitcoin is falling, it should also be noted that the second most popular cryptocurrency in the world - Ethereum - also continues to fall. At the moment, ether has lost more than $1,000 in value, which is approximately 25%. This is not as much as bitcoin, but it's still a fall. Thus, whether the majority of participants in the cryptocurrency market want it or not, Bitcoin drags the entire market down with it, with the exception of some tokens. Meanwhile, Elon Musk again began to comment on bitcoin and other cryptocurrencies, in particular his beloved Dogecoin, with which he is connected, as it turned out the other day, not just by interest. The developers of the Dogecoin cryptocurrency said they have been in cooperation with Elon since 2019. Thus, it can be assumed that Musk's interest in Dogecoin is not purely sporting. This time, the notorious billionaire posted on Twitter that, in theory, Dogecoin could become a more popular coin and overtake Bitcoin. "Ideally, Doge speeds up block time 10X, increases block size 10X & drops fee 100X. Then it wins hands down," Musk wrote. We cannot say that it was because of this statement that Bitcoin collapsed down again, but the trend can be traced with the naked eye. If Musk speaks positively about bitcoin, the cryptocurrency grows, if from the negative side, it falls. It seems that all participants in the cryptocurrency market are deliberately awaiting Musk's comments. Whether it is true or not, no one knows. Musk believes that Dogecoin is the future - and this cryptocurrency is growing. However, Elon Musk's opinion was immediately criticized by many members of the crypto community. The developers noted that if Dogecoin increases speed and decreases fees, as Musk says, then the entire network will become very vulnerable to spam attacks. Many other contributors also noted that commissions are spam protection. And Blockstream CEO Adam Back said that Musk does not understand how cryptocurrency works at all: "would be like someone wading into spaceX with ideas for a cuboid rocket fueled by water." Many also believe that Elon Musk wrote just another ironic troll comment. "Ideally, Tesla batteries last 10x longer, recharge 10x faster & drops costs 100x. Then it wins hands down," Uniswap founder Hayden Adams wrote back to Musk.



Technically, Bitcoin continues to move down on the 4-hour timeframe after breaking the upward trend line. The level of $47,000 has been taken, so the downward movement continues at the moment. Overcoming the level of $43,852 will further increase the likelihood of the continuation of the fall of the bitcoin quotes with the target of $38,467.





Paolo Greco
Analytical expert
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