Tesla CEO Elon Musk changed his Twitter profile description to one word: bitcoin. After that, Bitcoin grew by 20% and returned to $ 37,000.
On the morning of January 29, Bitcoin traded at $ 32,000 and began to rise sharply around noon, breaking the $ 37,000 mark. According to CoinmarketCap, the price of BTC increased by more than 20% per day.
Source: Tradingview
The likely reason for this jump was one word from Tesla and SpaceX CEO Elon Musk. He changed the description of his profile on Twitter one word – bitcoin. Musk also wrote:
“Looking back, it was inevitable.”
However, the action of the “Mask factor” may be short-term. CryptoQuant’s whale-on-exchange ratio jumped to an eight-month high of 0.88. The ratio is calculated by dividing the ten largest BTC transactions that enter exchanges within an hour by the total BTC inflow. This means that large holders began to bring BTC to exchanges for trading.
CryptoQuant CEO Ki-Young Ju warnedthat such dynamics may indicate a possible drop in the price of bitcoin. However, he wrotethat “Elon Musk’s tweet overlaps all other bearish signals.” Bitcoin continues to trade for about $ 37,000 now.
Recall that in December, Elon Musk’s tweets caused Dogecoin to grow by 30%.
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