BTC broke through $40,000, and it really has little to do with Elon Musk
Recently, BTC has had a small climax. BTC, which fluctuated for a month, finally reached a monthly high of $40,000. But now I think that BTC has gotten rid of its decline, and it is still too early to buy the bottom. In the general direction, BTC can only be said to be initially stable. I checked the news about BTC on the Internet, and Musk, the "godfather" figure in the currency circle, came out to speak again, saying that he might continue to support BTC in the future.
Musk said on Twitter that if BTC miners use reasonable (more than 50%) clean energy, Tesla will restart the BTC payment system. Many people believe that BTC's large fluctuations in these rounds of 2021 have a lot to do with Musk's attitude towards BTC. Some people even suspect that Musk is maliciously manipulating BTC. Magda Wierzycka, CEO of South African asset management company Sygnia, publicly stated that Musk used his and Tesla's influence to manipulate the price of BTC to sell low and sell high.
To be honest, as a capitalist in the field of science and technology, Musk's words and deeds do have a great influence, and some of his actions can indeed affect BTC. But Musk has not yet achieved the ability to determine the direction of BTC in one sentence. After all, BTC is too large. After all, Musk is just a passer-by in the history of BTC. What really determines the direction of BTC's value is the establishment of the consensus system and the attitudes of various countries towards BTC. Especially the attitude of the United States towards BTC, although it cannot be said that it is directly related to the life and death of BTC, but it will be the same.
El Salvador has less influence on BTC than Musk, but they all have to make way for CBDC
The United States did not target BTC at the G7 summit, which is very good news for BTC. If the United States continues to maintain an ambiguous relationship with BTC, then BTC will continue to stand firm until the United States has a complete showdown. In fact, the current international policy towards BTC is not friendly. Although there is support from a small country like El Salvador, these are really insignificant. To be honest, El Salvador’s announcement of its support for BTC is far less important than Musk’s attitude towards BTC.
In terms of policy, many countries are tightening their policies on BTC. In addition to strengthening supervision and introducing tax policies, some countries have begun to ban BTC completely. In addition, the introduction of digital currencies by central banks of various countries is approaching, and BTC, which has no country to do the backstage, is likely to be specially taken care of. The currency system is an important part of any country. Except for some countries that do not have a complete monetary system, no country would be willing to have its monetary system be impacted by foreign currencies.
If a country launches its own central bank digital currency, it will definitely give priority to supporting its own CBDC. BTC is one of the biggest obstacles to the development of central bank's digital currency. It is conceivable that BTC will face policy suppression. As the saying goes, "Only support what is good for you, not what is right", BTC will definitely face this test in the end.
If the United States clearly supports BTC, BTC will have the momentum for subsequent development
However, the attitude of the United States and BTC, after all, is only staying at an ambiguous stage, and has not clearly expressed support for the development of BTC. At most, capital giants like Musk stepped up to support the development of BTC and expressed their willingness to facilitate the improvement of BTC's system. The support of these capital giants at this stage is indeed very beneficial to the development of BTC, but this influence will become smaller and smaller over time. Especially with the introduction of digital currencies by central banks, if the United States continues to be so ambiguous, it cannot be ruled out that other countries will also play dumb.
In order to prevent BTC from affecting the development of central bank digital currencies, some countries do not rule out the possibility of direct policy suppression, and they have already done so. This may be the time for the showdown in the United States. If the United States is willing to explicitly support the development of BTC, I think some countries will converge. BTC's decentralization seems to be an advantage, but it is also one of its biggest shortcomings, because anyone can handle it. If BTC finds a strong backend, it will be tougher, but this is also a double-edged sword.