Was Bitcoin’s Newfound Market Momentum Stirred by Mystery Order Triggering BTC Price Surge?
Bitcoin (BTC), the largest virtual currency in the market, has soared to the highest point ever in more than four months. Today, April 2nd, Bitcoin surpassed $5,100 for a brief moment. However, what has triggered this price increase?
How Did Bitcoin Reach $5,100 in Just a Few Minutes?
Back in December 2017, Bitcoin reached $20,000 and then it entered a bear market that lasted until now. Today, Bitcoin surged almost $1,000 in under an hour in some exchanges. According to a recent report released by Reuters, Bitcoin’s price increase could have been triggered by an order of $100 million in different exchanges such as Coinbase, Kraken and Bitstamp.
Reuters cites Oliver von Landsberg-Sadie, chief executive of the crypto firm BCB Group, explaining that there was a single order that was triggered across three different exchanges. As he explained, the trader decided to purchase 20,000 BTC in three exchanges.
On the matter, Mr. Oliver von Landsberg-Sadie commented:
“There has been a single order that has been algorithmically-managed across these three venues, of around 20,000 BTC. If you look at the volumes on each of those three exchanges – there were in-concert, synchronized, units of volume of around 7,000 BTC in an hour.”
During the last months, Bitcoin has been traded between $3,200 and $4,200, relatively stable. Institutions and other traditional investors remained on the sidelines, waiting for a new low or just to confirm that the bear market was over. At the same time, there are still some issues with regulators that did not create mainstream enthusiast in virtual currencies.
Nonetheless, this surge has also been experienced by many other digital assets in the space. Other cryptocurrencies have been growing during the last weeks, even when Bitcoin was operating stably.
At the time of writing this article, Bitcoin registered a price increase of over 14% in the last 24 hours. Moreover, it has a market capitalization of $83 billion. Most of the digital currencies in the market are operating positively, including more than 90 altcoins among the top 100.