198 Interactions, 4 today
Whatever angle you take, the crypto market’s massive sell-off has had people talking.
Oh, Twitter in cryptocurrency. That magical place where your precious digital holdings can be sent to the moon—or down the drain. All it takes (usually) is an insane billionaire with much too much time on his hands to type less than 280 characters and… anarchy.
And right now, everyone’s holdings are frying. Bitcoin plunged 30% in 24 hours, and the whole cryptocurrency industry lost more than $500 billion. No, no.
So, what do the top crypto Twitter influencers have to say about this now?
Ok, it’s mostly optimistic. But if you had more of a speculative stake in the game and could actually move markets with what you typed on your iPhone, you’d still be hopeful as well.
First and foremost, there is the mysterious Elon Musk, who, while relatively new to Bitcoin, is now arguably its most influential influencer of all time. After all, Musk is partially to blame for Bitcoin’s current price decline. Today, however, he tweeted emojis that clearly implied his firm, Tesla, would not sell any of its massive Bitcoin investment (it purchased $1.5 billion of the currency in February).
Meanwhile, Michael Saylor, CEO of cloud computing firm MicroStrategy and one of the most vocal Bitcoin supporters (his company already owns $4.5 billion of the currency), was swift to say he was unmoved by the carnage.
Crypto influencer Anthony Pompliano—‘Pomp’ to those who follow his semi-evangelical financial advice—also said he wasn’t worried. “Volatility is the name of the game,” he said.
And Changpeng Zhao, the CEO of the biggest crypto exchange, Binance, made it clear that HODLing was the best thing to do. “If you panic sell, you won’t be crypto rich,” he wrote, making it clear that it wasn’t financial advice, as much as it might sound like it.
Bitcoin-haters—expectedly—said that this was evidence that the currency is trash. “Today should finally settle the debate,” said one of Twitter’s most active crypto skeptics, investor Peter Schiff.
“#Bitcoin is not a safe-haven, #inflation hedge, or store of value asset similar to #gold. It’s a highly speculative digital token that trades with other high-risk assets.”
But outside of the wacky world of crypto Twitter, there was some interesting analysis.
Former Acting Comptroller Brian Brooks, a former Coinbase executive and current CEO of Binance US, said in a Bloomberg interview that Bitcoin is down because of how people interpret the news that China would launch a fresh crackdown on the crypto world.
Three banking and payments associations in the country yesterday reiterated their support for the central bank’s 2017 ban on financial institutions and payment firms engaging in cryptocurrency transactions. They also warned investors about investing in the “speculative” world of digital assets.
But Brooks said that in the US “Nobody is going to ban Bitcoin,” adding that “It’s OK to be in the asset class,” and that the SEC needed to be clearer on regulation.
While Cathie Wood, CEO of investment management firm Ark Invest, said in a different Bloomberg interview that “some traders just dump and run.” She added that evidence pointed to Bitcoin being in a capitulation phase—or the perfect time to buy: “It’s on sale.”