Post
Topic
Board Bitcoin Discussion
Re: Elon Musk adds #Bitcoin to his Twitter bio
by
Argoo
on 29/01/2021, 15:41:31 UTC
Do you know how long it takes someone to sign up on an exchange, go through their KYC process to verify their account, make money transfer from their bank account to that bitcoin exchange, wait a long time until it reaches the exchange and is credited in their account and then eventually after jumping through all the hoops they can buy bitcoin?
You're assuming that literally every buyer we had in the past hour are totally new in the cryptocurrency space. It could simply just be people already with exchange accounts that just bought in because of confirmation bias.

And let's not forget that PayPal, Robinhood, eToro, Trading212, Cash App, Interactive Brokers and tons of trading/investing platforms that people have been already using already has bitcoin by default. Not every single buyer is going to go through the de facto bitcoin exchange like Coinbase/Binance/Kraken/Gemini/etc.
However, it happened in a very synchronous way. If bitcoin grew gradually, then one could cite an increase in demand and a general optimistic mood regarding the further growth of the market. However, there was a sharp spike in prices and seeing this, I immediately concluded that some event had occurred that caused such a sharp price effect. It seems likely that this is due precisely to Elon Musk's message about Bitcoin on twitter. If so, then the world of cryptocurrency is still very fragile.