Bitcoin, Ethereum, Altcoins Follow Stocks Down Despite Elon Musk Is Open to Buy BTC Again After Selling 75% of Tesla's Stash

cryptonews.com:

After spiking above the USD 24,000 level, bitcoin increased its volatility as Tesla said it sold 75% of its BTC holdings, or USD 936m worth of bitcoin, in the second quarter, in an attempt to raise cash.

However, Tesla’s chief Elon Musk stressed that “this should not be taken as some verdict on Bitcoin” as the company sold BTC as they “were uncertain as to when the COVID lockdowns in China would alleviate” and it was important for the company to maximize their cash position.

“We are certainly open to increasing our Bitcoin holdings in future,” Musk said during an earnings call, adding that they have not sold their DOGE.

However, despite this reassurance, the crypto market resumed its decline, following a correction in the Asian stock market.

BTC is currently (03:48 UTC) trading near USD 22,800 and is down almost 3% in a day and up 13% in a week.

Similarly, most major altcoins are also correcting gains. ETH is down almost 5% and trading below the USD 1,500 zone. XRP trimmed gains and now struggling near the USD 0.35 level. ADA declined almost 9% and traded below the USD 0.50 support.

Total market capitalization

After a clear move above USD 23,500, bitcoin price extended gains. BTC was able to spike above the USD 24,000 level. However, the bears were active near the USD 24,200 level and pushed the price below USD 23,000. On the downside, an initial support is near the USD 22,500 level. The next major support is near the USD 22,250 zone, below which the price could drop to USD 21,200.

An immediate resistance is near the USD 23,500 level. The next major resistance could be USD 24,000, above which the price could start a fresh increase.

Ethereum price struggled to stay above the USD 1,600 resistance. ETH trimmed some gains and