In February there was a lot of interesting news about Bitcoin and crypto currencies again. In this article I would like to summarize some of the most important news from February 2021 and the last few days.
1. Tesla buys $ 1.5 billion worth of bitcoins!
Last month it was still a rumor when Elon Musk added #Bitcoin to his bio on his Twitter profile. At the beginning of February the rumor, through the official publication of the Tesla company, became true!
Tesla has purchased 48,000 Bitcoins worth 1.5 billion (at the time of purchase) and plans to invest in BTC and other digital assets in the future.
In addition, Tesla plans to accept Bitcoin as a means of payment for the purchase of Tesla cars.
"We assume that we will accept Bitcoin as a means of payment for our products in the near future, subject to applicable laws and initially on a limited basis," said the SEC document.
This move by Tesla will certainly entice other large companies to invest parts of their liquid capital in Bitcoin as a store of value.
2. Microstrategy buys Bitcoin again and currently already holds 90,859 BTC!
Michael Saylor's company Microstrategy also made another major Bitcoin purchase in February. The bitcoins announced on the company's website in February were reportedly bought for around $ 52,765 per BTC, an investment of just over $ 1 billion.
On March 1st, Microstrategy announced again that the company had bought another 328 bitcoins for a total of $ 15 million, at an average price of $ 45,710. The company now owns ~ 90,859 BTC, which was bought at an average price of ~ $ 24,063 and is currently worth around $ 4.4 billion.
The company Square also bought more bitcoins in February, valued at $ 170 million, and now owns ~ 8,027 bitcoins with a current value of ~ $ 396,195,061.
More and more stock exchange listed companies are following the example of Microstrategy and Tesla. A current list can be found at: https://bitcointreasuries.org
3. Citibank publishes a 106-page report on Bitcoin!
Just a few days ago Citibank (one of the largest retail banks in the world) published a new 106-page report in which Bitcoin is rated very positively and is even referred to as the "polar star" of the crypto market.
Quote:"All these assessments about the potential of Bitcoin, about how it creates, influences and inspires new business models in the blockchain area, lead us to call it the pole star."
Source: Citi GPS, “BITCOIN At the Tipping Point,” March 1, 2021
The new report completely contradicts the last report from 2014, when Bitcoin was still referred to by Citibank as a “would-be asset” and “would-be means of payment” that will not be used in practice. It is more likely that another digital currency will prevail.
In the meantime, the new report from March 2021 says:
The attributes of BTC "could inspire us to become the currency of choice for international trade ... Bitcoin is at a turning point and we could be at the beginning of a massive transformation of cryptocurrency into mainstream."
4. Shark Tank Investors Mark Cuban and Kevin O'Leary Bullish on Bitcoin!
The two investors Mark Cuban and Kevin O'Leary, known from the American investor series "Shark Tank", are bullish on Bitcoin and Kevin O'Leary wants to invest 3% of his portfolio in Bitcoin. With this, Kevin O'Leary has changed his opinion on Bitcoin, which was previously rather negative. He used to refer to Bitcoin as a "huge nothing burger" ...
Now Kevin O'Leary, also known as Mr. Wonderful, can be seen on his Instagram and Twitter profile with laser eyes, which is a current meme on social media in the crypto community and posted the following:
The Shark Tank star said he already owns some BTC and is considering investing more. He also wants to invest in Co2-neutral Bitcoin mining.
Mark Cuban even defends Bitcoin on Twitter against Peter Schiff, one of the biggest Bitcoin skeptics in years. In the Twitter debate, Cuban responded to one of Schiff's many negative tweets about Bitcoin and advised him that gold would “die” as a store of value. "Gold is dead, get over it," Cuban's statement.
Source:
5. Bitcoin correction and comparison with bull market 2017!
At the end of February, the Bitcoin price experienced the second major correction in this bull market in 2020/2021 and has fallen from the last all-time high of over $ 58,000 to just under $ 43,000, which corresponds to about a 26% correction. Such corrections are normal and healthy for the Bitcoin course. In the last bull market in 2017, we saw even larger corrections of over 30% before the Bitcoin price rose again enormously.
It is also very interesting to see that the current bull market has behaved almost exactly like the bull market in 2017 (see graphic below)
Should it continue to develop exactly as it did in 2017, the Bitcoin price could just be on the verge of the next parabolic rise and we could even see prices of over $ 100,000 in the next few months.
So is the current correction in the Bitcoin price over now?
This cannot be said at the moment and although the Bitcoin price has now recovered to a price level of around $ 50,000, it is technically still possible that Bitcoin will fall again to the $ 44,000 - $ 40,000. There is a lot of support in this area, so it is relatively unlikely to fall under this area. Should this support be broken down, however, there is a chance for the bears to push the price further down and in the worst case even to end the bull market.
The short-term bullish scenario would be that Bitcoin breaks the confirmed resistance zone of around $ 52,000- $ 53,000 in the next few days and thus paves the way for new all-time highs. It's going to be another exciting month!
6. Google Finance
Another of the many news items from February 2021 and early March is that Google Finance is adding crypto pricing to its Finance.google.com domain. The section titled “Crypto” is now displayed next to the traditional stock and currency markets in the “Compare Markets” category. The section contains important pricing information for various cryptocurrencies, including Bitcoin (BTC), Ether (ETH), Litecoin (LTC), and Bitcoin Cash (BCH).
7. Rumor: Netflix Could Invest In Bitcoin Next!
In a podcast on Youtube, billionaire Tim Draper speculated that Netflix could be the next giant company to take advantage of the Bitcoin pie.
Before he gave his tip, however, Draper first described the core characteristic that the future investor must have. An innovative CEO at the top of the company is crucial for getting started with Bitcoin.
"I think Reed Hastings is a very innovative guy who has a lot of creative thinking. I think he still holds the reins at Netflix. That's why I say they'll be next."
Tim Draper in "The Unstoppable Podcast"
Will his prognosis come true? We'll see and stay tuned!
Best regards and hear you in my next article!
Jonas - @future24
Disclaimer:
The articles on this blog do not constitute investment recommendations and are solely news and analyzes that I have researched by myself. The author holds bitcoins and other crypto currencies himself.
The cryptocurrency market is very volatile and in the worst case scenario can lead to total losses. Invest at your own risk.
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Better late than never , but really thought Kevin would have realised earlier that Bitcoin is going to the moon , and exciting news that Netflix may be a possible investor , excited to be here this early
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Yes I think that everyone who is joining the Crypto-Space right now, is still early. With Netflix is just a rumor so far, but a realistic scenario. It´s an innovative tech company and they will join the future of money sooner or later. Many big companies will just join in 1-4 years, because they are not making fast decisions. Institutions will even buy Bitcoin for 1 Million per Coin in some years, when they realize that it´s basically only go up in the longterm and can save their money from inflation.
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It's funny to see these arguments whenever BTC gets a healthy correction. It's as if these people are looking at the 1 min chart and panicking whenever it drops, yet it never drops as much as it has risen before.
I'm super bullish on all the crypto right now, this is a bull year and all the institutions backing crypto is amazing for everyone. Seeing Mark Cuban defending crypto on social media is priceless.
Anyway, when reading articles like this I get reminded that we're definitely super early still
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Haha yes, they are many new people in the crypto-space and they never witnessed these dumps before the next pumps so far. According to on-chain datas, many retail investors are even selling their BTC with loss in the current dip, because they have panic, only because of a healthy correction. They will recognize that we are still early in some months and buy in again. Unfortunely for them, propably for a higher price than they sold for...
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100K Bitcoin is next
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I think so too. This current dip is just healthy and will help Bitcoin to reach higher All Time Highs.
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Hmmm
I fear for the poor masses that would join these secret investors.
I pray that we would not wake up in a chaotic environment if they withdraw some of their funds
The most institutions are buying for longterm and they will not dump their coins. Michael Saylor said that he will never sell his Bitcoins for example, beacause there is no need for it. When the mass adoption is there, you can pay everything with Bitcoin. But yes, lets hope that all the institutions are thinking like Michael Saylor and they will hold longterm.
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Longtime!
I'm getting more scared because they might decide to cash out in the night