Elon Musk appears to be influencing the Bitcoin market in many ways. Since his electric vehicle company Tesla officially arrived in the crypto market in February, Musk’s influence, dubbed “the Elon Effect” by many, has played a significant role in shaping the market movement.
There’s the usual price pump that is recorded after the Billionaire makes tweets about some cryptocurrencies—mostly Dogecoin and Bitcoin—and they usually either skyrocket for a few days before peaking or slightly drop depending on whether his tweets are amplifying bullish or bearish sentiments.
However, on a more crucial note, Musk has influenced early investors in the market to press pause on their traditional selling habits. Usually, as on-chain analyst Willy Woo recounts in a tweet, early investors are fond of offsetting their accumulated Bitcoins in sales, just midway into the Bitcoin rally. But this time, things are beginning to take a different turn.
“Early investors like to take profit by selling their coins (which carry more dormancy) into every rally, then this guy called Elonmusk comes along and decides to buy, now they HODL like the rest of us.” He tweeted.
Elon Musk’s arrival has caused the big bodies to remain calm, just like the others. Perhaps, forcing them to keep an eye out for when a major turnaround is recorded.
Since the market is only a few months into the bull run, selling may not be the most effective move for these investors.
From the Chart showing the “Average Coin …
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