Investing.com – The weekend was volatile for Bitcoin, which began by falling sharply overnight from Friday to Saturday, reaching a low of $37,425 (linked to the sharp fall in US stock markets, and in particular the Nsadaq, on Friday (afternoon), before rebounding on Saturday afternoon and especially on Sunday, with a peak just above $39,000.
In terms of news, the highlight of the weekend was Warren Buffett and Charlie Munger’s speech at Berkshire Hathaway’s annual shareholders meeting on Saturday, during which they discussed bitcoin.
Warren Buffett and Charlie Munger Criticize Bitcoin Again
The Oracle (NYSE:) of Omaha, famous for saying that the was “probably rat poison squared,” launched into a new anti-bitcoin explanation:
“Whether it goes up or down in the next year, or in five or ten years, I don’t know. But the one thing I know for sure is that it doesn’t produce anything… There’s magic in there and people have associated magic with a lot of things. »
Buffett gave a few examples. He would pay $25 billion for a 1% interest in all farmland in the United States. He would also pay $25 billion for a 1% interest in all apartment buildings in the country. “I’ll write you a check this afternoon,” he said.
However, when it comes to buying bitcoin, he detailed:
“Now if you tell me you have all the bitcoins in the world and offer them to me for $25, I won’t take them because what would I do with them? I would have to sell it to you one way or another. There’s nothing to get out of it. »
Unlike bitcoin, “apartments will produce rent and farms will produce food,” he pointed out.
Charlie Munger was no more tender, saying:
“In my life, I try to avoid things that are stupid and bad and make me look bad compared to someone else – and bitcoin does all three”
He then elaborated, “First, it’s stupid because it’s still likely to go to zero. It’s evil because it undermines the Federal Reserve system…and third, it makes us to look like fools compared to the Chinese communist leader. He was smart enough to ban bitcoin in China.”
Note that these statements did not seem to have any impact on the price of Bitcoin.
Bitcoin Technical Profile Remains Bearish
From a graphical point of view, a step back in daily data shows that the solid rise of Bitcoin over the weekend has not improved the bearish profile of the cryptocurrency.
It remains blocked under several key obstacles, including a downward trend line visible since the beginning of April, currently around $39,000, then the key psychological threshold of $40,000, and the 100-day moving average around $40,900.
On the other hand, it should be noted that Bitcoin took support from the $37,500 support zone for its weekend rally, confirming the importance of this support, which has been helping to limit Bitcoin’s losses since the end of February.