Bitcoin is riding an unimaginable bull wave, rising above $8,000 on May 13, before falling. With several positive developments in the near future, the price push does not seem to be halting anytime soon. Despite the rise however, a suspected whale move might present a telling tale in the bull-run fever.
WhaleAlert, the online cryptocurrency tracker, recorded a 2,587 BTC transfer to the tune of $21.16 million. The crypto-data aggregation website added that the transfer took place at 0930 UTC on May 14.
The stated transaction was recorded at exactly 09:33:52 UTC between the addresses 3CAS4rHRRdR7UNVNUUGhY9E5epQ6Qtq4xt and 369R9pfXpJwhtcEnUokZKEi7FTE1UNfWi6. The hash of the transaction in question was cf657a71930271a90f0ff0bf0ee1b2cadbc7bedf17b7d51d7132b7ef253758a5.
In the wake of Bitcoin breaching the $8,000 mark,Whale Alert listed several BTC transfers since May 13. The most prominent of which was 600 BTC from Kraken to an unknown wallet, valued at $4.94 million. Bitstamp also saw a transfer of 1,000 BTCs worth $8.22 million to an unknown wallet, as well as a transfer of 800 Bitcoins from the exchange to Poloniex, in a transfer worth $6.57 million. Previously in the day, Bitstamp saw 1,422 Bitcoins worth $11.69 million moved to an unknown wallet.
With the price moving the way it is, large-scale movements come as no surprise. However, it does correspond with the hike in trading volume over the past few days. On May 12, the king coin saw its 24-hour trade volume surge over $30 billion. The last time the volume was that high, the price of Bitcoin was over $10,000, back in January 2018.
However, it should be noted that several exchanges have been accused of fudging their trading volumes, moving large amounts of cryptocurrencies back and forth to inflate them. Given this occurrence, the current volume might be higher than previous year’s due to wash-trading or simply because of numbers being fudged.
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Bitcoin will likely be valued at $100,000 with a market cap of over $2 trillion before the end of 2021
The entire cryptocurrency market seems to be on the brighter side of the market since the beginning of the year. A majority of the coins have recorded significant recoveries from their 2018 slump, a period during which most coins lost over 90 percent of their value, when compared to their all-time highs. Among all the coins in the market, Bitcoin [BTC] aka the digital gold, was noted to be making a massive comeback as the coin breached the $11,000 mark after nearly 15 months. The coin however, soon retracted to settle below the $11,000 level.
According to CoinMarketCap, at press time, Bitcoin was trading at $10,887.27 with a market cap of $93.549 billion. The coin recorded a 24-hour trading volume of $20.757 billion for the past 24 hours and saw a massive rise of over 17 percent over the past seven days.
Anthony Pompliano, Co-founder of Morgan Creek Digital Assets, predicted that the largest digital currency could rise to reach $100,000, before the end of 2021. Pomp added that he was around 70-75 percent confident in this prediction. He stated,
“As I have previously said, making predictions is difficult […] Part of my process as a professional money manager is forming a thesis (price target), identifying a timeline (date), and establishing a confidence level. And then constantly re-evaluating those three aspects of my thought process as I receive new information.”
Pomp however, listed six pointers that have to be understood beforehand. First, this prediction is not an investment advice, and people should do their own research before investing in the digital currency. The second is with respect to Bitcoin’s volatility, with Pomp remarking that since it was a highly volatile market, the coin could witness a significant fall before being valued at $100,000. He stated,
“I anticipate that there will be numerous 20-30% drawdowns from new all-time highs as the asset continues to appreciate in value. These mini-boom/bust cycles should not cause panic, but rather need to be understood as natural market dynamics whenever an asset gains significant value in short periods of time.”
Further, the partner of the investment firm stated that the rise would be driven by several catalysts. This includes institutional adoption, exchange-traded funds and retail product approvals, global instability, governments all across the globe manipulating currencies, markets and economy. He went on to state,
“The market cap of Bitcoin will reach $2+ trillion when Bitcoin is worth $100,000. This is less than 1/3 the market cap of gold and less than 1/40 the global money supply.”
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