Was Bitcoin’s Downtrend Engineered?
Was Bitcoin’s recent drop engineered? Peter Brandt and a few others believe so:
Further data provided by Material Indicators suggest big players have been behind Bitcoin’s recent price action reacting to macro-economic factors. As seen below, the announcements made by the U.S. Federal Reserve Chairman Jerome Powell last week almost immediately translated into movements in BTC’s order book.
Another veteran trader Peter Brandt seems to share the same thesis. Via his Twitter account, Brandt showed the image below to demonstrate that BTC’s price recent downtrend saw significantly less selling volume than during May’s crash from $65,000 to $30,000. The legendary trader added:
We have not seen the type of panic selling volume that characterizes market bottoms. Not that such volume spikes are necessary, but to date the volume profile more resembles a bear trend engineered by big operators.