In February, bitcoin’s price surpassed $50,000 when Tesla announced a $1.5 billion investment in Cryptocurrency.
The reaction of the market prompted one creative T-shirt merchant to produce a $19.99 T-shirt printed with the words “Elon’s Candle,” alluding to Tesla’s wealthy CEO, Elon Musk. The “candle” was a reference to the striking pattern that formed on Bitcoin’s price chart as a result of Musk’s activity.
Musk ratcheted up the spectacle in March with a tweet announcing that Tesla products could be purchased using bitcoin.
The news aided in pushing the demand for bitcoin to an inconceivable market valuation of $1 trillion, an unprecedented stat in its entire market history.
However, from the perspective of chart readers, the market’s rise had gone too high, too quickly, and wasn’t warranted by the underlying degree of purchasing demand at the new, heightened threshold.
Bitcoin has dropped back with the moving price average 50-day and went on to $30,000 once more.
Bitcoin seemed to remain stable above the price at which it began 2021, which was $29,112.
The bitcoin boom continued as traditional media, and feverish finance commentators were focused on Coinbase’s direct stock listing.
Coinbase Going Public
Coinbase, one of the leading crypto exchanges in the United States, listed direct stock at the NASDAQ market on April 14, with the ticker code COIN. This was a turning point for the growing digital asset business, as it represented a wider moment of legitimacy for a quickly developing market.
COIN’s debut trading price of $381 was a whopping 52 percent higher than the NASDAQ’s reference price of $250 per share disclosed the day before. Even at that stratospheric price level, however, it was significantly behind some of the recent price projections provided by stock analysts, with some predictions reaching as high as $600 per share.