Evidence of bitcoin market manipulation?
It has been established that bitcoin does not strongly correlate to any other financial instrument. The only thing that it's price does seem to be related to is the search popularity of the term "bitcoin".
http://www.businessinsider.com/
bitcoin-price-correlation-google-
search-2017-9
It has also been established that big banks like Goldman Sachs (known for manipulating other markets) have been interested in bitcoin for at least several months.
http://www.businessinsider.com/
bitcoin-price-plunges-below-
goldman-sachs-target-rebounds-
sharply-2017-7
In the past week or so, we've seen bitcoin peak at over $7500 and then drop sharply to below $6000.
Now how does this compare with the Google trends data?
It seems that the search popularity has only been increasing. Strange.
A basic hypothesis to explain the correlation would be that the search popularity (read: hype) drives the price rather than the price driving it's popularity. This is also generally how market bubbles work, so it's a safe assumption to make. So far, bitcoin has already returned to the trend at a price of $6800. If a new peak is made soon, it fits nicely with this hypothesis.
So why does the steep drop off deviate from the trend? Is it a Goldman Sachs sell-off coupled with a rally, or maybe plain-and-simple price manipulation?
I can only hope that it signals a loss of faith in the value of shitcoin.
http://www.businessinsider.com/
bitcoin-price-correlation-google-
search-2017-9
It has also been established that big banks like Goldman Sachs (known for manipulating other markets) have been interested in bitcoin for at least several months.
http://www.businessinsider.com/
bitcoin-price-plunges-below-
goldman-sachs-target-rebounds-
sharply-2017-7
In the past week or so, we've seen bitcoin peak at over $7500 and then drop sharply to below $6000.
Now how does this compare with the Google trends data?
It seems that the search popularity has only been increasing. Strange.
A basic hypothesis to explain the correlation would be that the search popularity (read: hype) drives the price rather than the price driving it's popularity. This is also generally how market bubbles work, so it's a safe assumption to make. So far, bitcoin has already returned to the trend at a price of $6800. If a new peak is made soon, it fits nicely with this hypothesis.
So why does the steep drop off deviate from the trend? Is it a Goldman Sachs sell-off coupled with a rally, or maybe plain-and-simple price manipulation?
I can only hope that it signals a loss of faith in the value of shitcoin.
