BTC recorded a whopping 100% increase in the first quarter of 2021. Q1 2021 was a continuation of the bullish actions that saw the fourth quarter of 2020 close with an outstanding 168%. Bitcoin recorded the highest increase in the first three months of the year compared to the other first quarters.
The second quarter started on a very promising note as it the king coin a new all-time high during that time. Bitcoin hit an all-time high of $64,804 on April 14 fostering the conviction of a better Q2. BTC failed to continue in the laid path as we see in further price actions.
What Changed In The Second Quarter
Notably, the first quarter saw a surge in the number of corporate organisations hold BTC. One such company is Tesla, as it went Bitcoin shopping with $1.5 billion. Another company that kept trending in Q1 is MicroStrategy as they kept topping their BTC tank.
Q2 saw almost the opposite of what took place in the first. The King coin shade its previous gains gradually as series of bad news rocked the market. One of the biggest news is China cracking down on every BTC-related material including the coin itself.
In one of its efforts to crack down on bitcoin, China’s central bank has reportedly held conversations with five financial institutions from across the country to discuss the growing hype around cryptocurrencies and further widen the crackdown on the emerging industry. The news caused a FUD in the market-leading to most traders and hodlers selling off their assets.
Before that, Tesla made an announcement that saw the largest coin by market dip. It announced that it will stop accepting BTC as payment for its services. More FUD hit the market as Tesla was also rumoured to have sold all its bitcoin. In one word Q2 2021 was filled with a lot of fear, uncertainty and doubt causing the quarter to end with 41%.