• Bitcoin’s price has been showing increased volatility recently and some traders speculate that it is being manipulated.
• Prominent crypto traders have expressed their concerns about the asset’s current behaviour, arguing that its high volatility is not in line with what would be expected during this kind of banking sector uncertainty.
• Traders are urging caution, warning that the recent pumps may be just a way to unload bags before prices dip again.
Bitcoin Price Volatility
Bitcoin has recently experienced increased volatility, bouncing between $27,000 and $30,000 over the past weeks. Last week, the asset’s price reached above $30,000 only to drop again within an hour. As of writing, Bitcoin is trading for $28,617.71 per CoinGecko data representing a 2.3% drop in value over the last 24 hours.
Prominent crypto trader “Algod” argued that given the current banking sector uncertainty there should be more money flowing into Bitcoin than there currently is; “Duo Nine” suggested that someone might be manipulating the price by pumping it up before unloading their bags when FOMO takes hold; North Rock Digital Founder Hal Press described Bitcoin’s latest price action as “bait“.
Traders Urge Caution
These traders are urging caution from other investors and warning them that these pumps may be just a way to unload bags before prices dip again. They suggest waiting for the current cycle to end before making any investment decisions regarding Bitcoin.
The increased price volatility of Bitcoin has led some traders to question whether or not its market is being manipulated by someone seeking to profit off of FOMO-driven investors who buy in after a pump only to see prices dip again soon afterwards.
In light of this speculation, traders are recommending caution when investing in Bitcoin until further clarity can be gained on why it is experiencing such high levels of volatility at this time and whether or not it is indeed being manipulated by outside forces