Crypto Whales and Sharks May Have Anticipated Grayscale's SEC Victory: Insights from Santiment Data

Santiment Analytics Reveals Crypto Whales Acquired Bitcoin (BTC) Leading Up to Grayscale's SEC Court Victory

Santiment's analysis indicates that specific whale and shark addresses might have had prior knowledge of Grayscale's legal victory. These wallets, holding 10-10,000 BTC, acquired a staggering $388.3 million worth of Bitcoin the day before the announcement, hinting at possible insider information. This intriguing development prompts questions about the fairness and transparency of cryptocurrency markets.

Following Grayscale's legal victory, Bitcoin's price surged from approximately $25,964 to a peak of $27,975, marking a remarkable 7.7% increase. However, it has since retraced slightly and currently hovers around $27,275.

Earlier this week, a federal judge made a significant ruling, compelling the SEC to reconsider Grayscale's application to convert the Grayscale Bitcoin Trust into an exchange-traded fund (ETF). Grayscale had initially filed a lawsuit against the SEC in June 2022, alleging discrimination in the regulatory body's rejection of their ETF application. The judge's decision stressed the importance of avoiding arbitrariness and inconsistency in the SEC's evaluation.

Santiment's analysis also highlights Bitcoin Cash (BCH), an old-school BTC hard fork altcoin, as a notable beneficiary of the Grayscale news. BCH's price surged from approximately $190 to a peak of $225.29, representing an impressive 18.5% increase within the same day.

As of the current moment, BCH has experienced a minor retracement and is trading at $214.47.

Grayscale provides exposure to Bitcoin Cash through its Grayscale Bitcoin Cash Trust, further emphasizing the impact of regulatory developments on the cryptocurrency market.

Sep 01, 2023