- Tesla sells 75% of its BTC holdings for an average price of $29,000.
- Bitcoin price has not yet shown a correlation to the sudden bearish news.
- Invalidation of the bullish macro thesis remains at $13,880.
Tesla has reportedly sold 75% of its BTC holdings as the company faced Q2 cash flow constraints. The innovative electric-powered car company sold over $950 million worth of their Bitcoin holdings for an average price of $29,000.
Bitcoin price is unphased by Elon
CEO Elon Musk attributed Tesla’s lack of cash flow to manufacturing stalemates due to the coronavirus pandemic in Shanghai. He also re-assured his confidence in Bitcoin, saying he “intends to buy more in the future.”
Bitcoin price currently auctions at $22,400. The Bitcoin price has sparsely reacted to the bearish news as the uptrend channel has been breached in intra-hour time frames.
BTC/USDT 2-Week Chart
Although fundamentalists may have mathematical theories on Tesla’s future impact on the original peer-to-peer crypto, the technicals are still bullishly intact. The Bitcoin market cap remains over one trillion.
From an Elliot Wave perspective, Bitcoin maintains its bullish macro stance. $13,880 is the invalidation level to call it quits. If $13,880 were to get touched, the entire macro count would be in jeopardy, and a bear market targeting the coronavirus lows at $3,500 could ensue.
In the following video, FXStreet analysts deep dive into the price action of Bitcoin, analyzing key levels in the market: