The latest on Bitcoin is rather less involved with technicals, and more focused on reading some pretty strange tea leaves that a lot of old-school investors would consider quite silly.
Tech media this morning are reporting on Bitcoin’s drop to around $36,900 as of press time, attributing much of the daily declined to a new tweet by Elon Musk, SpaceX and Tesla Pioneer and a big, if often casual, mover of current markets.
The tweet in question includes a broken heart emoji with the cryptocurrency’s name, above a meme of a young man and woman ostensibly breaking up over musical preferences, or other imbroglios.
“I know I said it would be over between us if you quoted another Linkin Park song but I found someone else,” says “Her” to the sulking gent on the other side of the couch, without even a requisite comma to separate the two clauses.
“So in the end it didn’t even matter?” ‘He’ rejoins, also commaless. While millennials familiar with the cited tune might find this hysterical, older traders will likely end up scratching their heads.
Again, some investors more attuned to classic trading philosophies would ask why people are banking on a means of communication that not only doesn’t spell out any defined trading strategy, but seems pretty unrelated to anything financial at all.
In other words, if even a cryptic tweet can move markets, we could be in trouble, given Musk’s predilection for posting photos of dogs and other random stuff.
In fact, a much more concrete tweet from Musk May 24 suggests the opposite – that a thaw between his empire and the front-running cryptocurrency could be in the works.
Writing May 24, Musk refers to the potential for Bitcoin minors to advertise “planned renewable usage” and to be more transparent about energy use during mining operations.
That’s important, some analysts say, because it actually addresses fundamental market dynamics. On the other hand, Musk’s most recent statement suggests, in a ridiculous non sequitur way, that an investor choosing to snub a particular financial product is like a generation Z couple finding new partners and bickering about nu-rock.
So humbly, some analysts are bucking the ‘conventional wisdom’ over today’s tweet, suggesting that if and when the energy efficiency problems are worked out, BTC will be off like a rocket again.