What Crypto's Most Prominent Influencers Think About Bitcoin Crash

Bitcoins 30% nosedive on Wednesday took most of the crypto space by surprise, but the market’s strongest supporters appeared resilient.

What Happened: Wednesday’s crypto selloff and market-wide fear led to panic-ridden investors selling the entirety of their digital asset holdings.

Exempt from this group of sellers were Tesla Inc TSLA CEO Elon Musk and Ark Investment Management CEO Cathie Wood, who indicated they were still holding on to their Bitcoin investments.

Musk took to Twitter once again, using emojis to emphasize that Tesla had “diamond hands” and hadn’t sold its existing Bitcoin holdings.

Meanwhile, Cathie Wood told Bloomberg TV that her conviction in Bitcoin BTC/USD was still as high as before, emphasizing a $500,000 price target for the leading digital asset.

“We go through soul-searching times like this and scrape the models, and, yes, our conviction is as high,” said Wood, going on to explain that the market was in a “capitulation phase.”

“You never know how low is low when a market gets very emotional,” she said. “We were looking at all the indicators this morning. They are all suggesting that we are in the capitulation phase, which is a really great time to buy, no matter what the asset is.”

This sentiment was shared by Galaxy Digital CEO Mike Novogratz and Grayscale Investments CEO Michael Sonnenshein. Novogratz shared an image of deflated basketballs on Twitter, making light of the damage sustained by his crypto portfolio.

Crypto portfolio today. 😂. We will pump again once the selling is finished. pic.twitter.com/uGloPBwfne

— Mike Novogratz (@novogratz) May 19, 2021

Sonnenshein, on the other hand, tweeted a video clip of a contestant on the game show “Supermarket Sweep” pushing a shopping cart to signify that he viewed the massive drop in crypto asset prices as a buying opportunity.