Bitcoin Resumes Uptrend, Cryptocurrency Weekly Gains

Bitcoin witnessed volatile trading last week, although its end was in the green, recording a gain of about 13% and is currently trading near the price of $23,000

Bitcoin witnessed volatile trading last week, though it ended in the green, with gains of around 13% and currently trading near $23,000, while Ethereum Classic was the best performer over the past week with massive gains of over 55%.

Bitcoin performance over the past week

The leading cryptocurrency managed to maintain its bullish momentum over the past week after falling below $19,000 on July 13, as the coin saw strong gains on Saturday and Sunday (July 16 and 17) to enter the $22,000 price range on Monday, and the coin continued to climb until It crossed the $24,000 price on July 20, hitting its highest level in more than a month.

But after the bad news from Tesla, which indicated it was selling its bitcoin holdings in the second quarter of the year, the leading cryptocurrency retreated and lost nearly $2000. Between the level of 22000 - 23000 dollars


Tesla suffers from falling prices

Tesla revealed in its second-quarter earnings report that it sold most of its bitcoin for $936 million, a sale described as “because of bitcoin weakness” hurting the electric car maker’s profitability during this period.

The company disclosed in a US Securities and Exchange Commission (SEC) filing in February 2021 that it had bought $1.5 billion worth of bitcoin, and Tesla subsequently sold 10% of that stake in April 2021.

However, bitcoin is down nearly 50% from the then-record price of $43,000 achieved in February 2021 after the Tesla purchase was revealed, so the Tesla 75%'s sale of bitcoin holdings represents a huge loss for the company's investment.

But the company's CEO, Elon Musk, said last Wednesday in an earnings conference call that the sale should not be considered a "judgment of bitcoin", and added that the coins were sold to maximize Tesla's cash holdings due to the uncertainty surrounding the Covid-19 shutdown.

Despite the blow caused by news of the Tesla sale, Bitcoin had a relatively good day staying above $23,000 for most of the day, until Tuesday as the market grappled with a crypto winter caused by the collapse and financial struggle of lenders Celsius Network and Voyager Digital. and hedge fund operator Three Arrows Capital, which has filed for bankruptcy.

Ethereum is on top

coin rose Ethereum Classic ETC increased by 55% on a weekly basis, as the coin appears to be benefiting from the hype surrounding the next Ethereum hard fork known as the Merge which many observers view as a potential change for the crypto sector, however, the start date of the consolidation is uncertain, and it also rose Ether (ETH) generated from the 2016 hard fork on a weekly basis at 36% last week, hit a multi-month high of around $1600 earlier last week but bounced back to trade below that level.

Mohamed Abdel Khaleq

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