On the evening of August 29th, the US District of Columbia Court of Appeals declared Grayscale’s victory in a prolonged legal dispute with the SEC regarding the conversion of Grayscale Bitcoin Trust (GBTC) into a Bitcoin ETF Spot fund. Following the court’s ruling, both the price of Bitcoin and stock prices experienced an upward surge, bringing a sense of optimism to the market after a period of decline.
It’s evident that Grayscale’s win stands as one of the most significant developments, making the incorporation of cryptocurrencies by institutions more accessible. However, a point of suspicion arises concerning the sudden surge in Bitcoin exchange supply before the verdict.
According to on-chain data, approximately 30,000 BTC were sent to cryptocurrency exchanges prior to the news of Grayscale’s legal victory, increasing the total available BTC supply to 1.16 million USD. Meanwhile, Grayscale’s decline has improved from -40% to -24%.
This raises the question: “Did the whales smell the scent of a pump due to positive predictions about the verdict, or did they have prior knowledge of Grayscale’s victory?” Many believe this might be a market manipulation move by Market Makers. Currently, the cryptocurrency community is quite excited about the market turning “green” and is eagerly awaiting the court’s decision, as the evolving developments around the lawsuit are believed to influence the SEC’s decision on the approval of the Bitcoin ETF Spot application.