Numerous theories emerge whenever the price of Bitcoin (BTC) takes a sudden and steep drop. The usual suspects include government regulations, the possibility of exchanges manipulating prices, Bitcoin whales manipulating prices, over-leveraged traders, and some conspiracies involving Tether (USDT).
SEC kicks Bitcoin ETF can down the road
Between Aug. 15 and Aug. 18, Bitcoin’s price experienced a significant 12% decline. This occurrence followed a familiar pattern, prompting a variety of reasons put forth by analysts and experts.
Unfortunately, due to the decentralized nature of cryptocurrencies and the lack of transparency among exchanges, verifying whether a specific entity influenced the price movement remains a challenging task.
On Aug. 11, Ceni, a co-founder of Ceni Capital, made a prediction that turned out to be partially accurate. Ceni predicted a Bitcoin price lower than $29,000, anticipating the U.S. Securities and Exchange Commission (SEC) to postpone its decision regarding the Ark Bitcoin ETF.
SEC Delays Decision on Ark Invest’s Spot Bitcoin ETF Application, Calls For Public Input-8 week delay for BlackRock to manipulate the market. 29k should break soon cheap stats for holders and institutional investors. pic.twitter.com/pcBhOho0Ax
— CENI⬛️(,) (@ceni0718) August 11, 2023
However, it’s important to note that the prediction didn’t specify the timing of this event or the exact support level. As a result, the statistical foundation of this hypothesis becomes less certain.
Nonetheless, Ceni has pointed to BlackRock as a potential instigator of Bitcoin’s crash, a claim that warrants thorough investigation.
Spot-based Bitcoin ETF is not a short-term deal for BlackRock
The idea that BlackRock might benefit from a lower Bitcoin price before launching a spot-based Bitcoin ETF is not as straightforward as it may seem. While the concept of a lower Bitcoin price leading to increased profitability upon ETF launch might be intuitive, there are several reasons why this might not align with BlackRock’s broader interests.
First and foremost, BlackRock has built a reputation as a respected financial institution based on its commitment to market stability and investor confidence. A sudden and substantial drop in Bitcoin’s value could undermine the overall credibility of the cryptocurrency market, something BlackRock would aim to avoid. The priority of maintaining the market’s legitimacy might outweigh any immediate gains resulting from a low Bitcoin…
Click Here to Read the Full Original Article at Cointelegraph.com News…