- Single entity has been increasing purchases of BTC on Bitfinex following price dips.
- The activities of the whale entity remain unknown to other exchanges but Bitfinex.
Researchers have for a long time been working hard to explain the miraculous rally that saw Bitcoin rise high levels close to $20,000. As per the report released by the University of Texas’ Professor John Griffin and Ohio State University’s Amin Shams, a single entity on Bitfinex exchange has the ability to reverse Bitcoin price falls.
The researches have linked Tether (USDT) to be the tool used in the price pumps. They reached that conclusion by examining Bitcoin and Tether transaction since March 1, 2017 to March 31, 2018. In other words, Bitcoin price falls were followed by a significant increase in purchase transactions on Bitfinex. Moreover, the pattern only took place in the period after USDT tokens have been printed.
“This one large player or entity either exhibited clairvoyant market timing or exerted an extremely large price impact on Bitcoin that is not observed in aggregate flows from other smaller traders,” their new peer-reviewed paper (not public yet) claims, according to Bloomberg.
Both Bitfinex and Tether have rubbished reports that connect them to market manipulation terming them unfounded and lacking concrete evidence.
Read more: Bitcoin price prediction: Lags assault on $9,295 prominent resistance range – Confluence Detector
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