Strong Comments from Elon Musk Help in Boosting Weakening Price of Bitcoin

Despite taking a huge fall in the past week, things have recovered a bit for Bitcoin (BTC). With the initiation of the new week, the trading price of Bitcoin started under $17,000.

As per many market experts, it is a fortunate thing for Bitcoin that its price has climbed higher throughout the last weekend. Otherwise, it could have started the new week at around $14,000.

A Plunge Followed by a Rally

As the news started rotating about FTX’s bankruptcy, the entire crypto industry was devastated. The investors kept on withdrawing their funds from the crypto exchanges and other trading firms.

They proceeded with liquidating a massive amount of cryptocurrencies and Bitcoin at the very top. However, Elon Musk’s positive comments and honest remarks helped boost BTC’s trading price.

Despite the recovery, it is worth mentioning that the past week had become extremely volatile due to FTX’s collapse. Now, as people know about the fate of FTX, it is time to move on, and look at the bigger picture.

Bitcoin Found its Support at $15,800

As the news of the bankruptcy came in, all major and minor cryptocurrencies started to experience massive liquidations. This was caused by the heavy selling of cryptocurrencies by investors.

The investors knew that the FTX exchange’s impact would work like a domino effect. Soon, other platforms and cryptocurrencies such as Solana would face major plunges.

Therefore, the investors realized it would be best if they sold their investments and returned once the situation was normal.

The investors had the same approach toward Bitcoin and they kept on selling it on a large scale. The heavy selling dragged the price of BTC all the way down to $15,872.94, bringing it close to the $15,800 mark.

The $15,800 level was the key support level for Bitcoin and the bulls tried hard to protect it. They did not let the bears breach this level, otherwise, BTC would plunge to $14,000.

Bulls Pushed Bitcoin to $16,864.76

As the bulls kept fighting the bears back to protect $15,800, a strong rally came in to support Bitcoin. It managed to cause a strong rebound that pushed the trading price of BTC almost adding $1,000 to it.

As a result, the trading price of BTC reached all the way up to $16,864.76. It was a promising sight for the investors to see BTC move further away from the $15,800 level.

Bitcoin’s recent rally was enforced by Elon Musk’s positive comments. He recently took to Twitter commending the potential of Bitcoin and stating that it would make it through the hard times.

However, he did mention that the recovery would be longer than expected as the winter may linger on for a while.

In the past 24 hours, Bitcoin’s price has recovered by 5.13%. If nothing like the FTX crash takes place, then it is hoped that BTC would cross the $20k barrier.

By Brandon Craig
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