Bitcoin Prices Surge to New Record High Above $44,000 on Tesla’s Move

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Written By: Eno Eteng (MSTA)

Feb 08, 2021, 13:52 GMT 13:52

bitcoin BTC

Summary:

Tesla invests $1.5billion into Bitcoin, sending the BTCUSD skyrocketing. Bitcoin prices have now surged above $44,000 as at the time of writing.

Bitcoin prices have surged to a new all-time high after Tesla reported on Monday that it had invested $1.5 billion in Bitcoin. BTCUSD has surged beyond $44,300 this Monday, as it posts gains approaching 13%.

Tesla also indicated that it would start accepting Bitcoin payments for its cars and other products in the immediate future. With this move, it would appear Elon Musk has made good on a December 20, 2020 Twitter exchange with CEO of MicroStratagey Michael Saylor, in which Saylor advised Musk to proceed in respond to the latter’s inquiry of the possibility of converting some of Tesla’s balance sheet into Bitcoin.

Techical Outlook for BTCUSD

Today’s surge has sent Bitcoin prices into record territory once more, blowing past the previous mark of 42,000. This move has the potential of attaining the projected upside target, located at the 423.6% Fibonacci extension level (45,972.96) of the swing move from the 13 March 2020 low to the 17 August 2020 swing high.

On the flip side, profit-taking retracement could see BTCUSD retest the 40,137.27 price mark (14 January high), with the 373895.67 support (8 Feb low) serving as an additional downside target.

BTCUSD Daily Chart

Written By: Eno Eteng (MSTA)

Eno is a certified financial technician and member of the UK Society of Technical Analysts. He loves to trade and write about stocks, Forex, and CFDs. Since 2009, he has consulted several financial companies as a trader and strategy developer. His work can be seen on several forex blogs and trading educational websites.