The Bitcoin (BTC) and altcoin markets lost up to $ 602 billion overnight due to Elon Musk’s sudden move.
The billionaire businessman revolutionized his decision to accept Bitcoin for electric cars offered by his company, Tesla. He pointed to environmental considerations and noted that mining Bitcoin requires a lot of fossil fuels, especially coal.
Bitcoin prices began to fall in the first five minutes of Musk’s tweets late Wednesday in the US. On Thursday, prices continued their decline in the Asia-Pacific session, as they at one point set an intraday low of $ 46,000, higher than the previous session’s level of $ 59,592.
Altcoins helped Bitcoin take losses overnight. They have amassed more than $ 367 billion in market value, driven by massive downward adjustments in some of the leading cryptocurrencies, including Dogecoin (DOGE), a meme cryptocurrency that recently rose to explosive levels thanks to Musk’s support. …
Ether (ETH), Binance Coin (BNB), Bitcoin Cash (BCH), and Litecoin (LTC) also recorded significant drops in the day after increasing profits in the previous day’s sessions.
However, some altcoins have escaped a brutal collapse due to their strong short-term underlying setup. Let’s take a look at the most famous trees.
Aave has proven to be an exceptional performer as almost all of the top cryptocurrencies have fallen.
The ERC-20 token, which acts as a control token on top of the Aave protocol, ended the Wednesday session from 11.62% to $ 511, despite hitting an all-time high of $ 640 earlier that day. It was clear that Musk’s statement against Bitcoin had affected Aave as well as other cryptocurrencies. But unlike his peers, Ave seemed more resilient in the face of sudden bear pressure.
Aave had the most important moving average support against downward pressure in the entire market. Source: TradingView
The token maintained its bullish bias on Thursday, and is trading at around $ 589 as of 8:13 AM GMT.
Basically, Aave was protected from dangerous bear attacks. First, Stani Kulechev, founder of Aave, stated that the decentralized financial funds protocol has created a “private pool” of institutional actors. He noted that the new permitted pool will act as a simulator for investors looking to get used to Aave’s lending and lending services before participating in the decentralized financial system.
The prospect of institutional participation preserved the up-and-coming mentality of Ave. Equity rally sentiment received additional momentum from Aave’s floating liquidity pool; Analytics platform DeFi DefiLlama now has $ 12.83 billion, up from $ 2 billion at the start of the year.
Alpha Finance (Alfa)
The next asset that has nearly caught up in the alternative currency tumbling storm but is still on the run is Alpha Finance.
The decentralized asset management platform, which now manages a homemade return culture protocol called Alpha Homora, allows users to suggest and vote on operational and strategic decisions as long as they have ALPHA, its parent code. They can also earn ALPHA if they provide liquidity for Alpha Finance pool.
The shock of Elon Musk forced ALPHA to take a breather from the dominant bullish trend on Wednesday, and tested a two-month high for a possible bullish breakout. The ALPHA / USD exchange rate is down nearly 23% from Wednesday’s high of $ 2,465.
But the couple soon abandoned the positive basics, including launching a new partnership and continuing success with Alpha Homora.
ALPHA expects a break of the red horizontal resistance trendline. Source: TradingView
The total volume closed at the Alpha Homora complexes peaked at $ 1.35 billion on Monday from $ 1.37 billion so far. In early 2021, the total cost is set at approximately $ 188.5 million. The striker reveals that Alpha Homora has had a successful race so far.
ALPHA / USD recovered more than 20% in Thursday’s trading. This is the phase of correcting the recovery with Alpha Homora TVL. Meanwhile, Alpha Finance announced the launch of Alpha Oracle Aggregator with data from two of the largest Oracle data providers, Band Protocol and Chainlink, for “security, scalability, and resiliency”.
The Bitcoin drop did little to counter the ALPHA’s general bullish bias.
The positive correlation of ETH (ETH) with Bitcoin led to a slight decline in profits Wednesday night.