Bitcoin Spikes $4K Following Elon Musk’s Tweet, BTC Dominance Rising (Market Watch)

Bitcoin Spikes $4K Following Elon Musk’s Tweet, BTC Dominance Rising (Market Watch)

After dumping below $35,000 once more, bitcoin has bounced off quite nicely by adding more than $4,000 of value in hours. Most alternative coins have followed suit with impressive gains, including ETH challenging $2,500.

Bitcoin Eyes $40K

As it happened in the past few weekends, bitcoin lost traction once Saturday came. The positive news from El Salvador had driven the asset to above $37,000, but it plummeted well below $35,000 in hours.

Despite recovering some ground on Sunday, another price slump transpired, in which BTC dipped to $34,750 (on Bitstamp).

At this point, though, Elon Musk stepped up by indicating that Tesla would resume accepting bitcoin payments for its EV product once there’s official confirmation that at least 50% of the cryptocurrency’s mining comes from clean energy sources.

Bitcoin reacted immediately with a $1,500 surge followed by another one once his words reached mass media. In a matter of hours, BTC added more than $4,000 of value and came just inches away from touching $40,000.

After reaching its highest price line since late May, the asset has retraced slightly but still hovers above $39,000. Nevertheless, BTC’s market dominance is on the rise again to around 45%.

BTCUSD. Source: TradingView
BTCUSD. Source: TradingView

Altcoins Rise Too

The alternative coins have followed their leader north after struggling through the weekend. Ethereum dipped below $2,300 on Saturday, but it added more than $200 to an intraday high of around $2,550 earlier today. Despite retracing to just below $2,500, ETH is still 7% up on the day.

Binance Coin (7%) has also jumped to $360 after bottoming to around $320 during the weekend. On a 24-hour scale, ADA (7%), DOGE (5%), XRP (6%), DOT (6%), BCH (8%), LTC (6%), and SOL (5%) are well in the green as well.

Uniswap and Chainlink have marked double-digit gains. As a result, UNI is just shy of $23, while LINK is just north of that level.

Cryptocurrency Market Overview. Source: Quantify Crypto
Cryptocurrency Market Overview. Source: Quantify Crypto

More gains come from Amp (20%), Fantom (19%), The Graph (19%), Theta (18%), Aave (16%), THORChain (16%), Elrond (15%), Holo (14%), Compound (12%), and more.

According to CoinGecko, the crypto market cap has added over $100 billion in a day to around $1.7 trillion.

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