After a small dip under $10,000, Bitcoin surged and surpassed $10,600, according to CoinMarketCap. However, this price action may have been triggered by a massive Bitcoin (BTC) purchase performed on Binance, moving the price around $1,000 in a short period. Binance is one of the largest cryptocurrency exchanges in the world.
Bitcoin Price Increase Triggered By Massive Buy Order
Bitcoin has been fluctuating during the last several days. The digital currency first fell under $10,000 and then it returned to $10,500 in a very short time. This was triggered by a massive purchase on the Binance exchange, one of the largest platforms in the market.
According to a report released by San Francisco Tribe, the movement experienced by Bitcoin could only be predicted by the Bitcoin Longs. When several investors are holding one position over another, there is expected to be a large price movement in the market that ends up forcing liquidation In this way, exchanges can capture investors’ funds and increase traded volumes.
Some of the topics that could have affected Bitcoin price during the last days could be related to Facebook’s digital asset Libra and the different discussions held at the government level. There have been several representatives that praised Bitcoin’s immutability, its impact on the market and some other features.
Due to this price increase experienced by Bitcoin, other digital assets followed. For example, Litecoin (LTC), that fell under $80 for a short period, moved above $100, growing 25% in just a few hours. It has also grown around 25% in terms of BTC during the last days. This can also be related to the fact that Litecoin is going to be halving as soon as on August 5. With a slower issuance of Litecoin and a larger demand, the price of the digital asset is expected to be positively affected.
At the time of writing this article, Bitcoin is being traded close to $10,600 and it has a market capitalization of $189 billion. Ethereum (ETH), the second-largest virtual currency in the market has a price of $223 and a market valuation of almost $24 billion.
Bitcoin’s dominance remains very high compared to the last few years and it stands at 66%. Most of the altcoins have lost part of their market share during the bear market experienced by virtual currencies in 2018.
