After the news about Tesla rejecting Bitcoin (BTC) due to environmental concerns, the first cryptocurrency has plunged by over 27% so far. However, some indicators point to a soon rebound, while the institutional investors keep holding and buying the dip. Beyond Bitcoin, Cardano (ADA) reached a new All-Time-High (ATH) of over $2.4; and the XRP price increased by over 40% in the last week.
MicroStrategy, one of the biggest institutional investors of Bitcoin, just decided to buy the dip. According to its CEO, Michael Saylor, the company acquired $10m more in BTC at a price of around $43,663 per coin. Currently, it’s calculated that this company owns 92,079 BTC, which now worth around $3.9b. Although, if we’d calculate it with the price of the last ATH ($64,800), MicroStrategy would own $5.9b.
A bit contrary to the bullish sentiment by MicroStrategy, Elon Musk answered a tweet by @CryptoWhale hinting that Tesla could sell its billionaire bitcoin holdings. The panic quickly spread through the community, but he already denied that intention: “To clarify speculation, Tesla has not sold any Bitcoin”.
At the same time, the relative strength index (RSI), a technical indicator for market analysis, might be pointing to the end of the bearish trend for Bitcoin. This currency has increased by over 123% year-to-date, after all.
As for Cardano, the year-to-date increase is even more amazing: over 1,266%. This is probably thanks to its last update, which would add multi-asset support, and the possibility to import ERC-20 tokens from Ethereum. Additionally, the Cardano Foundation offered this crypto as an eco-friendly alternative for Tesla, since ADA works with Proof-of-Stake (PoS) and not with traditional mining (Proof-of-Work).
Beyond Bitcoin, XRP resists
Last December, the U.S. Securities and Exchange Commission (SEC) filed a lawsuit against Ripple for allegedly having carried out a “$1.3 Billion Unregistered Securities Offering”. Since then, their native token price has suffered, but by now it’s recovered very well. Indeed, against all odds, XRP increased by over 752% year-to-date.
Currently, it’s been traded at $1.6 per coin, and it surpassed the dollar barrier for the first time in three years. The reasons behind this increase might have to do something with the legal victories that XRP has been gathering. Last month, the XRP company won access to SEC’s private documents about Bitcoin and Ethereum.
Besides, the SEC’s request to review the banking records of the last 8 years of Ripple’s top executives was denied by the court. Ripple also won the case against Tetragon, one of its former investors. In the meantime, the XRP holders are trying to intervene in the case with pieces of evidence, and the SEC is trying to prevent them to do so. The next hearing between the parties will be held on May 21, and then we’ll see new results.
Featured Image by Hawksky / Pixabay
Originally published at https://blog.alfa.cash on May 18, 2021.