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Is Bitcoin Pushing Further Up or Is It a Fake Rally?

bitcoin

Bitcoin has been going up and it has even touched above the $9,100 level for a brief moment. Now, the next question is if it is actually a bull run or not? If you will look at the way Bitcoin price moved recently, it has involved a lot of whales. According to reports, it appears that 25% of BTC is now controlled by “whale wallets”.

Now, this isn’t anything new. DeBeers, a diamond cartel from the UK did the same thing for the last century. DeBeers dominated the market by hoarding the mineral and hyped the importance of diamonds. DeBeers controlled 85% of the diamond market.

For Peter Schiff, a veteran stockbroker of Euro Pacific Asset Management thinks that the bear market isn’t over yet. In fact, he thinks that this is what you call a “fake rally”. This is an attempt to “sucker in” the bulls. He mentioned that “A lot of people got suckered into this pump-and-dump scheme because they heard all the stories about young kinds taking their BarMitzvah money into bitcoin and bought a Lambo…Pretty soon, it is going to be stories about people who lost their savings because they put real money instead of play money into bitcoin”.

Fake Buying Sentiments?

He believes that there are fake buying sentiments in the market. He also doesn’t believe that Bitcoin is going to be used as a store of value. Schiff even mentioned that “Central banks are buying gold; they are not buying Bitcoin because gold is money”.

Cryptocurrencies are known for being volatile. However, there are also institutional investors that are now starting to look into the possibility of diversifying their assets on cryptocurrency. Barry Silbert who is the CEO and Founder of Greyscale Investment even supervised the #dropthegold campaign. Silbert argued that Bitcoin is far superior considering that it is easy to store plus it is limited in number.

Silbert mentioned that “There is a real innovation happening—and I assure you that it is going to propel the bitcoin price higher…The gold will only perform well when the shit hits the fan”.

Now, you also have JP Morgan having a 180-degree turn in their opinion on cryptocurrencies. They even started to have their very own JP Morgan Coin.

$20K Around the Corner?

Of course, there are different opinions regarding the price of Bitcoin. Analyst Filb Filb thinks that Bitcoin looking to break $9K is a “carbon copy” of when BTC tried to break $6,000. He thinks that if the trend is going to continue, there is a possibility that Bitcoin is going to soar to $18,700.

And he Filb Filb isn’t the only one who has this prediction. In fact, another analyst who goes by the name Crypto Kaleo thinks that there is a possibility of hitting straight to $20K in the coming weeks.

Should you be expecting Bitcoin to go higher in the coming weeks? Is it possible that the past movement that we’ve is actually a result of manipulation on the part of whales? Though nothing is certain at this point, it is important to note that there are a lot of reasons to believe that Bitcoin’s price is going to go higher soon considering adoption and the halvening. Could all of these things affect Bitcoin in a positive manner? Or is it really just an effect of pump-and-dump manipulation?

Janneke Eriksen

Janneke is a writing ninja and has vast experience in journalism, specifically in the crypto space. As a blockchain believer and avid Bitcoin fan, she’s incredibly excited to share to our readers the latest news around so they are always updated wherever they are.

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