After trading at $7,400 for a while, last week, the price of bitcoin surged above $10,000 before retracing to $9,400 at the time of writing. There have been several speculations as to why the price surged so much in just a few hours. CEO of Fundstart, Thomas Lee, tweeted that China’s friendly policy might have played a role in bitcoin surge, among other factors.
A lot of ‘signal’ past few days in crypto and #bitcoin
– China (friendly policy)
– New ATH S&P 500 (positive)
– Bitcoin Misery Index bottomed 10/24 at 36 and rebounding (positive)
– Massive price gain on $BTC friday (signal)
Interim ‘risk-off’ ended, and bull market resumes.
— Thomas Lee (@fundstrat) October 28, 2019
Several others from the crypto community also speculated that the Chinese President’s endorsement of blockchain technology might have been the reason behind bitcoin’s price surge. However, not everyone thinks the same Euro Capital CEO, Peter Schiff, believes that recent sharp rally had nothing to do with China, and it was whales who are manipulating the price.
Bitcoin’s recent sharp rally likely had nothing to do with China, or any fundamental factor. It clearly looks like market manipulation by whales looking to sucker in momentum buyers. By pumping up a technically weak market, they are able to dump more #Bitcoin at higher prices.
— Peter Schiff (@PeterSchiff) October 28, 2019
When a tweeter user asked Thomas Lee about when would the US start taking a positive stance on bitcoin and cryptocurrencies, Lee replied, “Not for a long time.”