Financial Advisory Group: Bitcoin Would Be 40% More Valuable Without Manipulation

Tony "The Bull" Severino

1 year ago

3 mins read

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There are two sides to every coin and to every argument, and the same goes for Bitcoin. Some argue that without manipulation, the crypto bubble may never have taken place, and the asset would still be trading at much lower prices. However, a new theory from a financial advisory group estimates that if the crypto market was free of any manipulation, Bitcoin would be roughly 40% more valuable, or at a price of over $14,000 per BTC.

The Wild West of Cryptocurrencies, Filled With Whales, Manipulation, and Spoofing

One of the first major blows dealt to the crypto market that in hindsight may have prompted the bear market, was a claim that the entire Bitcoin bull run was due to manipulation involving the stablecoin Tether.

An investigation was launched by the United States Department of Justice, but nothing conclusive came to be. Researchers also claim this to be true and have attempted to back up the theory with data.

Tether’s parent company hasn’t helped their case at all, by constantly finding themselves on the wrong side of the legal system. Thus far, the company has only been proven innocent, but crypto traders still often speak out against manipulation in the market.

Large-sized Bitcoin whales often use their size to move the market to fill orders. It is for these reasons why Bart moves, Darth Mauls, and all the other bizarre shakeout-type moves are commonplace throughout the space. Beyond these other well-known characters, an entity referred to as “spoofy” was regularly discussed during the 2017 run-up.

Without all the manipulation, wild price patterns, and other weirdness of the crypto space, would the industry really be this fun? Perhaps not, but one thing one firm says is certain, manipulation is real in crypto, and it knocks a full 40% off of Bitcoin’s value as a result.

BTCUSD Weekly Price Chart Spotlight On Manipulation Rallies | Source: TradingView

Bitcoin Manipulation-Free Value Would Be Closer To $14K, Report Claims

According to a report penned by Timothy Peterson from Cane Island Alternative Advisors dubbed To the Moon: A History of Bitcoin Price Manipulation, he claims with “near 100% confidence” that Bitcoin’s price has been “fraudulently manipulation at some point in its lifespan.”

“We can say with 95% confidence that bitcoin was manipulated in 2013; 95% confidence that bitcoin was manipulated in 2017; and 98% confidence that bitcoin was manipulated in 2019,” the report continues.

Digging deeper inside the paper, Peterson and his team of experts reveal that Bitcoin price could be as much as 40% more valuable without this manipulation running rampant in the industry.

"To the Moon: A History of #Bitcoin Price Manipulation" is available at https://t.co/XipWk1vGCs
We conducted an analysis from July 2010 through May 2020. We can say with near 100% confidence that bitcoin’s price has been fraudulently manipulated at some point in its lifespan. pic.twitter.com/O9csfJXKwX

— Timothy Peterson, CFA CAIA (@nsquaredcrypto) September 2, 2020

40% higher prices in Bitcoin, would make the first-ever cryptocurrency’s actual value closer to $14,400 without puppeteers playing with market participants and moving prices with their large capital allocation.

However, if like Peterson claims, Bitcoin was manipulation in 2013, 2017, and 2019 – some of the largest bull runs – would the asset’s price even be this high in the first place?

Until the crypto market sees serious and strict regulation, this wild west will likely rage on, and we’ll never know Bitcoin’s true value without it.

Tony "The Bull" Severino

Tony "The Bull" Severino, CMT, is a distinguished figure in the cryptocurrency analysis sector, renowned for his in-depth technical expertise and innovative approach to market trends. As the Head of Research at NewsBTC, Tony leads a team dedicated to providing cutting-edge insights and forecasts, helping both novice and experienced traders navigate the complexities of the crypto market.
A seasoned Chartered Market Technician, Tony's prowess in identifying and capitalizing on market patterns is unmatched. His academic and professional journey in market analysis has firmly established him as a leading authority in technical trading strategies. Tony’s approach is heavily influenced by the principles of Elliott Wave Theory, a method known for its rigorous assessment of investor psychology and price movements.

Beyond his role at NewsBTC, Tony is the visionary founder of CoinChartist.io, an educational platform aimed at demystifying the nuances of cryptocurrency trading. CoinChartist.io serves as a valuable resource for traders seeking to enhance their technical analysis skills. The platform offers a range of learning tools and resources designed to empower traders with the knowledge to make informed trading decisions.

In addition to his educational initiatives, Tony is a prolific author and a dominant voice in the crypto community. He writes the CoinChartist VIP newsletter, a weekly dispatch that has become a staple among crypto enthusiasts, revered for its insightful analysis and actionable trading advice. This newsletter has consistently ranked as a best-seller on SubStack, boasting thousands of subscribers who rely on Tony’s expertise to guide their trading strategies.

Tony is also celebrated for his literary contributions to the field. He is the author of the highest-rated Crypto Trading Journal on Amazon.com, a testament to his ability to communicate complex trading concepts in an accessible manner. This journal is widely regarded as an essential tool for traders aiming to track their progress and refine their strategies.

Before his ascent in the financial analysis world, Tony honed his skills in journalism. His background in this field has endowed him with a unique ability to present intricate market dynamics in a clear and compelling manner, making his insights highly sought after by a broad audience that ranges from casual readers to professional traders.
His professional affiliations underscore his commitment to excellence and continuous learning. As a partner of Elliott Wave International and TradingView, Tony collaborates with other leading experts to enhance his knowledge and skills. His active membership in the CMT Association further aligns him with the highest standards of industry practices and ethics.

Tony’s nickname, "The Bull," aptly reflects his aggressive and optimistic outlook on the cryptocurrency markets. His forecasts often anticipate significant upturns, earning him a reputation for bullish predictions that have frequently led to lucrative outcomes for those who follow his advice.

In summary, Tony "The Bull" Severino, CMT, is more than just a technical analyst; he is a mentor, educator, and innovator whose influence in the cryptocurrency space continues to grow. His dedication to advancing the understanding of market forces and his commitment to providing high-quality, reliable analysis make him a pivotal figure in the world of cryptocurrency trading.

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