Will Bitcoin (BTC) Price Plunge Amid Rising Interest In Wall Street Memes?

Updated: 02 August 2023

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Bitcoin and other cryptocurrencies advanced on Tuesday, August 1, following another minor price drop. The new price move came after a surprise move by Fitch Ratings, which downgraded the US, reducing the rating from AAA to AA+.

The move followed a high-profile fight against the debt ceiling seen earlier this year when the US barely avoided defaulting. Fitch justified its move by citing “expected fiscal deterioration,” offering a negative projection for the future of the US economy.

Bitcoin reacted to the move by gaining over 2% in the last 24 hours.

Previously, Bitcoin also suddenly increased when the US Fed announced its latest interest rate hike, leaving it unclear whether this was the last time the rates were going up.

Yuya Hasegawa, an analyst at crypto exchange Bitbank, said:

Damage to the central government’s credit could raise demand for decentralized, stateless currency.

A new series of developments has allowed stocks to see gains in recent weeks, while Bitcoin spent the same period in a historic stagnation.

However, Bitcoin has failed to react to positive catalysts for the stock market while reacting quite positively to negative catalysts.

Bitcoin Price Jumps Back to $30,000

Before the Fitch rating reduction, Bitcoin spent seven days fluctuating between support at $29,000 and resistance at $29,500. The support finally broke yesterday, August 1, causing the asset to drop to a 1-month low at $28,750.

After Fitch announced, the Bitcoin price skyrocketed, going from $28.75k to $30k within only a few hours. Since then, the price has corrected once again as the bulls lost their momentum, dropping to $29,500, which is currently support.

Michael van de Poppe, the founder and CEO of Eight, said: “I’d like to see $29.3K hold on LTF and then a clean break through $30K.”

Well, that happened on #Bitcoin.

I'd like to see $29.3K hold on LTF and then a clean break through $30K. pic.twitter.com/toPD3GI19E

— Michaël van de Poppe (@CryptoMichNL) August 2, 2023

Another analyst expressed optimism by saying that the coin broke free from a falling wedge pattern. They see this as strong potential, despite moderate volume. It is rare for Bitcoin to break a bearish pattern, so the fact that it did is being taken as a promising sign.

Another analyst pointed out that Bitcoin’s recent surge completed a W pattern and that the daily candlestick looks very strong thanks to the buying power. However, after the bulls failed to maintain the momentum, the price retracted, and the coin failed to break the resistance at $30,000.

Bitcoin Lightning on Coinbase Agenda

One positive development that could help keep Bitcoin above $29k is a confirmation that Coinbase intends to add support for the Bitcoin Lightning Network.

The confirmation came directly from the exchange’s CEO, Brian Armstrong, who said that Coinbase intends to use it to advance crypto payments adoption worldwide.

The next step for crypto is to make payments instant and free globally.

This will take lots of work from all of us, Coinbase included, getting layer 2's integrated, better on-ramps, simpler UX/onboarding, etc.

A magic threshold would be getting the average payment under 1 cent… https://t.co/IDWTHsZNUq

— Brian Armstrong (@brian_armstrong) July 26, 2023

The confirmation came after Microstrategy founder Michael Saylor and Square CEO Jack Dorsey questioned Armstrong’s vision for global crypto payments. Armstrong responded that crypto’s next step is making payments instant and free globally.

Why do you continue to ignore bitcoin and lightning?

what "crypto" is a better money transmission protocol and why?

— jack (@jack) July 26, 2023

Dorsey admitted that Coinbase has onboarded more people to Bitcoin than probably any other company worldwide. However, he stressed that the community wants an open protocol for money transmission that no individual, company, or government can control.

No doubt coinbase introduced more people to bitcoin than anyone else. And I’m grateful for that.

Putting more of your resources towards your original focus on bitcoin and layer 2 technologies would be amazing and we’d be happy to partner.

We want an open protocol for money…

— jack (@jack) August 2, 2023

Wall Street Memes Hits Another Milestone by Raising $20 Million

As uncertainty surrounds Bitcoin price, traders are turning to popular new meme coins, Wall Street Memes.

The token, still in presale, recently hit a massive milestone by raising over $20.2 million. At this point in its presale, WSM tokens are selling for $0.0328 per token.

The current stage will last for another five days, which is when the price will go up to $0.0331. Those interested in joining the hype surrounding the token can purchase it with ETH, BNB, USDT, or via credit or debit card.

Wall Street Memes was inspired by a subreddit called WallStreetBets, which captured the financial industry’s attention in early 2021. At the time, its community participated in a campaign to boost the share price of GameStop and several other firms targeted by institutional investors.

Institutions were shorting their stocks for profit, threatening to lead the firms to financial collapse. Redditors’ intervention protected the companies, and Wall Street Memes emerged two years later to commemorate their efforts.

Smog (SMOG) - Meme Coin With Rewards

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