As more digital currencies continue to find their way into the cryptocurrency market, it is getting more robust by the day. With a projected future defined by virtual currencies, everyone seems to be interested in the crypto market. And sometimes there are people able to create bullish Bitcoin trends.
The challenge, however, for many traders, particularly the newbies, is that they find it difficult to understand certain concepts like bullish and bearish and the factors that drive them.
As an exchange platform that interacts with traders daily, we understand how much knowledge about these terms can help investors trade effectively. We have decided to provide you with bearish and bullish Bitcoin meaning and how tweets from billionaire CEO - Elon Musk, the real king of memes, have caused certain bearish and bullish patterns.\
However, before we examine some of Musk's tweets, let's understand what bullish and bearish mean and how they affect crypto trading.
When you hear the term 'bullish' in crypto trading, it means that a particular coin is experiencing a surge in price. Conversely, a coin is said to be 'bearish' when there is a fall in price. When you hear that Bitcoin prices are going up, that is a bullish pattern ; but it is a bearish pattern when the prices are going down.\
In the crypto world, you are either a bull investor or a bear investor. As a bull investor, you believe that the price of a particular coin will rise based on certain patterns or predictions. On the other hand, you are a bearish investor. If you believe, based on your analysis, the prices of a particular coin will fall.
The bearish and bullish patterns are important for crypto traders because investors love to buy when the prices are low and sell when they go high. To be sure you are engaging in effective investment. You have to pay attention to the news, activities of traders, and governmental policies when making bullish and bearish analyses. If you are confused about the projection of a coin. You can check out 40 crypto news tools and software to use in 2021 .
If you are active on Twitter and a crypto investor. One person you should be following is Elon Musk because of how well he can move the market. From funny tweets about meme coins to his acceptance of Bitcoin. We have seen how the prices of cryptocurrencies rise and fall because of tweets from the king of memes.
Here are some of Musk's tweets that have caused a rise in the prices of cryptocurrencies:
Source: The Sun
Elon Musk, one of the world's leading tech entrepreneurs, posted this tweet on the 4th of February, 2021. As simple as this tweet appears, it had a lot of bullish effect on dogecoin. According to the market index, the value of dogecoin went up by 75% by this tweet. While this is surprising for a meme coin, it is expected considering how much engagement the tweet got globally.
The tech entrepreneur didn't stop calling dogecoin the people's crypto alone. But he further stated that if stakeholders are willing to sell most of their coins. He is willing to pay actual dollars for it. The replies that followed this tweet were positive, as one user even asked if there would be a bubble.
Source: The Sun
While it takes some media personality 140 characters to influence others, the king of memes doesn't need up to that. 'No highs, no lows, only Doge' were the words of Elon Musk on Twitter. That caused a bullish engulfing of the meme coin.\
By this tweet, many people began investing in dogecoin , which caused its price to skyrocket by 44%. In subsequent tweets, he mentioned that the most entertaining outcome is the most likely, and according to experts. He said to be referring to the meme coin.
It will interest you to know that this tweet also caused my trading services, exchanges, and apps to record a downtime beyond increasing the value of the coin. This was due to the inability to manage the large crowd that was queuing to get the coin.
Source: Wall Street Stock Report
Please make no mistake to think it's only the prices of Dogecoin that Elon Musk influences. His influence extends to many other cryptocurrencies, including Bitcoin and Ethereum. His tweets have brought about both bearish and bullish patterns that have influenced many activities in the cryptocurrency market. When the billionaire CEO made this tweet, Bitcoin had just reached its record high that surpassed the $1 trillion thresholds.
With this tweet, bitcoin value increased in the Asian trading market exceeding the two-month high it had recorded.
Source: FxStreet
On the 13th of June, 2021, Elon Musk tweeted, saying that there is a possibility of Tesla resuming transactions in Bitcoin after a while of suspending. Musk has always been an ardent supporter and advocate of digital currencies. It is this drive that made his company the first automated company to allow for Bitcoin transactions.
However, several issues bothering environmental degradation caused by Bitcoin mining caused the company to suspend this transaction. By this tweet, Bitcoin recorded a 5.1% surge in price.
In subsequent tweets to this, Musk also mentioned the possibility of liquidating bitcoin without necessarily moving the market.
Source: Twitter\
It is quite fun to see how much sarcasm Elon Musk brings to the social media space. What is surprising is how these sarcastic tweets of his can have bullish and bearish patterns on the particular coin he is tweeting about. There is no denying that there are times Musk does this out of a bullish vs bearish sentiment. However, what matters is the effect his tweets have on the crypto market, making it bullish or bearish.
The sarcastic nature of this billionaire CEO's activeness on Twitter was seen when he tweeted that if there was ever a scandal against him. It should be called Elongate. While the tech entrepreneur had no specific explanation as to what this tweet means, many suggested it has some crypto undertone.
It didn't take long after this tweet was posted that it amassed over 60,000 engagements. What was more surprising to everyone was the immediate creation of a cryptocurrency called Elongate . Born out of Elon Musk's tweet, this digital coin enjoyed massive attention from investors immediately after it was created.
Source: Twitter\
It wasn't a good day for Bitcoin when the king of memes tweeted that Tesla had plans to sell part of its Bitcoin holdings. To issues around environmental damage. After this tweet was made, Bitcoin hit one of its lowest prices. With many traders withdrawing their shares out of fear that the prices would drop.
Things, however, got better for Bitcoin the next day when Musk came on Twitter to clarify his stance on this issue. Stating that Tesla had not sold any Bitcoin yet. There was a bullish hammer pattern for Bitcoin after this tweet as the coin's value recovered partially.
Source: Twitter
On the 24th of May 2021, Elon Musk tweeted that he had spoken to North American miners about bitcoin mining activities. According to him, these miners have committed to publishing current and planned renewable energy usage. He stated further that they have agreed to ensure other miners globally do so as well. The discussion with the Bitcoin miners followed the suspension of Bitcoin payments by Tesla, which created a bearish pattern for the coin.
Like it has been the trend with the many other tweets made by Musk, this tweet restored the confidence people had in bitcoin and started restoring the bullish hammer pattern the coin has been known for over the years.
Cryptocurrencies are volatile because several factors can define their current price and whether they will be bullish or bearish. One of such factors is statements made by notable personalities. For a microblogging site like Twitter, you expect a tweet to become news, especially when it comes from the king of memes, and news can move the market forward.
To trade safely, you have to stay updated with these tweets and news to know when to expect bearish and bullish patterns for a better investment.\
You can read more on how to invest in cryptocurrencies for a better understanding of this.
