These days, the crypto market exploded. Bitcoin (BTC)’s price jumped from $10k to $11k in just a few hours, and the whole market is filled with excitement.
Crypto enthusiasts are preparing to see BTC hitting $20k and then surpassing the high from 2017.
At the moment of writing this article, BTC is priced above $11,100.
Activities behind the pump of BTC’s price
On the other hand, there have been intense debates taking place regarding the activities behind this pump of the coin.
All kinds of controversial claims have raised concerns for investors and the whole crypto community.
It’s been said that institutional money has been driving this BTC rally.
AMBCrypto reports that as BTC’s price started to race towards $10k, “Tether Treasury minted almost 100 million USDT, which was speculated by many users to be the cause, just like last time.”
The online publication cites Twitter user @spencernoon had a few predictions under their sleeve as to what’s causing the Bitcoin run-up:
“Retail investment indicators like tweets are still at low levels, which suggests this rise is likely due to some combo of (i) institutions accumulating and (ii) actual SoV usage in places like Iran/Hong Kong—both encouraging signs.”
They also bring up another Twitter user who pointed out Tether’s trading volume which has been continually increasing since back in March.
The online publication cites data from Messari, and says that Tether reported a trading volume of $25,700,398 on March 31, “while there was a gradual increase over time and on June 21 the volume was reported to be $138,341,033 million.”
BlockTower Capital is a crypto investment company and chief investment officer and managing partners Ari Paul said that the reason for the BTC rally is the following:
“Gradual institutional buying with spurts of buying from Asia and Latin America to hedge weak currencies and protect wealth against tariffs and capital controls.”
People keep searching for reasons for the BTC rally.