What Elon Musk’s Tweet Means for Bitcoin

If you’ve been keeping yourself off the crypto-grid these last few weeks, then you picked one hell of a time to take a break. In case you haven’t noticed, Bitcoin has just going on the bull run of a lifetime, smashing through the previous all-time high and racing upwards towards $50,000. 

Bitcoin hitting numbers like this was always inevitable, barring some world-ending catastrophe, but just how it came about has a greater implication than you might initially think. 

Bitcoin was looking bullish, but a Tweet from Elon Musk, the CEO of Tesla, is what lit the fuse on the market. It took minutes after Musk’s Bitcoin tweet for the price to start soaring and believe it or not, that’s not a good thing. 

Bitcoin is an Active Volcano

Bitcoin is an active volcano. It’s ready to erupt at any moment without any warning or signs. You might think this is great, bringing back memories of 2017 or 2019. It’s not, though. Bitcoin isn’t a triviality anymore; it’s a genuine financial solution that is being taken seriously by the leaders of the world. 

It needs to be stable. I, for one, thought that after the coin recovered from the 2020 crash, the volatility had been shaken out, and Bitcoin had finally found its place. I was wrong. 

If one man’s tweet, one man might I add who isn’t any sort of a Bitcoin expert, can cause such a massive jump in the market, then we should be very concerned. Bitcoin and crypto as a whole have always been subject to the whims of whales, but this is an entirely new phenomenon. Not the notion of a price changing based on a big tweet that can happen, but not to this extent. 

The implications of the tweet are so severe that Musk’s lawyers have advised him against speaking on Bitcoin anymore lest the SEC comes knocking. Musk seems to have taken that advice on board, shorting $1.2 billion in recent weeks. 

An Infancy Currency

For my money, Bitcoin being so volatile and subject to mere tweets from icons is a terrible indication of where the coin is going, despite the jump in price. 

Sure, making a profit is always great, but Bitcoin is more than that for me. I can admit that I’m something of a hopeless idealist, but we have a genuine chance here to reset the power dynamics that have existed in global finance since the creation of banks. If that opportunity is squandered by billionaires looking to make a quick buck, I’m going to be upset, to say the least. 

The fact that it’s so easy to influence tells me that Bitcoin is still very much an infant despite how popular it’s become. Perhaps it’s time to consider taking a step back for a little while, letting the coin truly find its footing before pressing on with the big global reset. 

Maybe That’s Just Me

Maybe that’s just me, though. After all, Soros has done a lot more damage to established currencies like the pound, so nothing is really safe on the market, I suppose. 

Either way, I don’t think Musk’s tweet is something that should be swept under the rug and treated looked at with amusement. It might be worth a giggle now, but what happens when down the road Musk decides that he wants to buy some cheap Bitcoin, so he tweets about how bad it is. 

That would likely lead to the SEC showing up at Tesla’s front door, granted, but the problem remains. It might be Musk today, but tomorrow it could be someone else entirely.