A massive sell order involving 12,000 Bitcoin (BTC) has raised concerns about potential market manipulation by influential “whales.” These large holders of Bitcoin can greatly impact prices, and their recent actions have caused a stir.
Market Momentum Shift
Bitcoin’s recent rally pushed prices to a high of $62,775, but momentum quickly waned. The sudden resistance above $62,000 has left traders questioning whether this is part of a deliberate strategy by whales, according to News.Ng.
Suspicious Sell Orders
The Binance order book revealed large sell orders between $61,200 and $62,500. Monitoring service CoinGlass highlighted the suspicious nature of these orders, totaling 12,000 BTC (approximately $750 million).
Market Capitalization Surge
On August 8, Bitcoin’s market cap jumped from $1.08 trillion to $1.21 trillion in a single day. This surge marked the second-largest single-day increase in Bitcoin’s history.
Imbalance in Liquidity
Crypto analyst Daan Crypto Trades observed more sell orders than buy orders on Binance. This setup could suppress Bitcoin’s short-term volatility, potentially trapping the price within a narrow range.
Spoofing Phenomenon
Spoofing involves placing orders to manipulate supply and demand perception. While controversial, this practice is not uncommon in crypto markets.
Some traders anticipate a further decline in Bitcoin’s price. Others point to long-term indicators, such as the 200-day exponential moving average (EMA), suggesting a potential recovery. Bitcoin recently reclaimed its position above the key EMA line, historically preceding sharp price increases.
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