Cryptocurrency

Bitcoin

Read

<div class="cryptonews"> 
 <p class="is-style-lead">Cryptocurrency markets were jolted by SpaceX’s unexpected decision to divest its considerable Bitcoin holdings, leaving experts and enthusiasts alike questioning the rationale behind this move.</p> 
 <p>As Bitcoin’s price plunged below $26,000 following the sale, a domino effect of massive liquidations rippled through the market, surpassing a staggering $1 billion.&nbsp;</p> 
 <figure class="wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter"> 
  <div class="wp-block-embed__wrapper"> 
   <blockquote class="twitter-tweet" data-width="550" data-dnt="true"> 
    <p lang="en" dir="ltr">In the past 24 hours , 174,320 traders were liquidated , the total <a rel="noopener noreferrer nofollow" title="liquidation" href="https://thebittimes.com/tag/liquidation.html">liquidation</a>s comes in at $1.03 <a rel="noopener noreferrer nofollow" title="billion" href="https://thebittimes.com/tag/billion.html">billion</a><br>The largest single <a rel="noopener noreferrer nofollow" title="liquidation" href="https://thebittimes.com/tag/liquidation.html">liquidation</a> order happened on Binance – ETHBUSD value $55.92M #Bitcoin #BitcoinCrash #Elon #BTC pic.twitter.com/JuAbczjtL4</p>— Ashish Gautam(Money Guru Digital) (@Moneygurudigi) August 18, 2023 
   </blockquote> 
  </div> 
 </figure> 
 <p>SpaceX, an aerospace company led by <a rel="noopener noreferrer nofollow" title="billion" href="https://thebittimes.com/tag/billion.html">billion</a>aire CEO Elon Musk, had notably acquired Bitcoin in undisclosed amounts, which initially boosted the cryptocurrency’s value to an all-time high of over $43,000.&nbsp;</p> 
 <p>However, the recent news of SpaceX’s substantial bitcoin sell-off came as a surprise, raising speculations about the motives behind such a significant departure from the digital asset.</p> 
 <div class="cn-block-related-link"> 
  <svg class="cn-block-related-link__icon icon" aria-hidden="true"> <use xlink:href="#"></use> 
  </svg> <span class="cn-block-related-link__prefix"> You might also like: </span> Bitcoin supply last active over 10 years ago hits all-time high 
 </div> 
 <p>SpaceX has remained tight-lipped about the $373 million in bitcoin it wrote down in 2022 and 2021. It’s worth noting that Tesla Inc., where Musk is also CEO, sold a chunk of its bitcoin — about 75% — just over a year after investing in the digital currency.</p> 
 <h2 class="wp-block-heading" id="strong-the-spacex-effect-strong"><strong>The SpaceX effect</strong></h2> 
 <p>The sudden surge of bitcoin onto the market triggered a broader sell-off in risk assets, with the price tumbling from over $29,000 to a low of $25,314 within a mere 24 hours. As a result, over $1 <a rel="noopener noreferrer nofollow" title="billion" href="https://thebittimes.com/tag/billion.html">billion</a> worth of assets were liquidated, underscoring the immense impact of SpaceX’s move on the cryptocurrency ecosystem.</p> 
 <p>This event shattered the period of relative stability that had characterized the cryptocurrency market, putting into focus the growing vulnerabilities that Bitcoin and other digital assets face.&nbsp;</p> 
 <p>The catalyst behind the market’s upheaval was the specter of heightened interest rates, prompting investors to rapidly offload riskier investments like Bitcoin. This reaction underlines the intricate balance between external economic factors and the nascent cryptocurrency market’s volatility.</p> 
 <p>The aftermath of SpaceX’s <a rel="noopener noreferrer nofollow" title="liquidation" href="https://thebittimes.com/tag/liquidation.html">liquidation</a> could also raise broader questions about the future of cryptocurrencies as a safe-haven asset class. With regulatory constraints, economic uncertainties in global markets, and the SEC’s scrutiny of tokens like XRP further muddying the waters, investors are grappling with a complex landscape.</p> 
 <div class="cn-block-related-link"> 
  <svg class="cn-block-related-link__icon icon" aria-hidden="true"> <use xlink:href="#"></use> 
  </svg> <span class="cn-block-related-link__prefix"> Read more: </span> Bitcoin reaches ATH in Argentina as pro-crypto candidate wins primaries 
 </div> <span class="google-news-banner__label">Follow Us on Google News</span> 
</div>

SpaceX’s Bitcoin dump triggers chain reaction, liquidations surpass $1 billion

Table of Contents

TheBitTimes

Other articles published on Aug 20, 2023

Survey: Ripple Expected To See Most Gains In 2019

Tether Discontinues Bitcoin Omni Layer Version Due to Waning Interest

Riding the Bull: Borroe ($ROE) Presale All Set for Massive Rally Amidst Ripple (XRP) Bearish Pred...

XRP Outperforms Shiba Inu, Ethereum and Cardano with 10% Price Spike

Binance Smart Chain: Revolutionizing Decentralized Finance

Shiba Inu’s Shibarium Launch Turns into Total Fiasco, Exposes SHIB’s Fundamental Flaws

Join our free newsletter for daily crypto updates!