As Bitcoin mounts a furious rally and threatens to take out a key psychological resistance, economist and outspoken crypto critic Peter Schiff says the recent surge is likely not caused by an organic increase in demand.
In a reply to a tweet posted by Bitcoin whale and Gemini co-founder Tyler Winklevoss, Schiff says whales are manipulating the market as the leading cryptocurrency has failed to attract institutional money to “keep the pyramid scheme going.”
While the CEO of Euro Pacific Capital offered no evidence to support his claim, the crypto community is tracking new data indicating that Wall Street is buying Bitcoin at breakneck speed.
Market researcher Kevin Rooke keeps tabs on the Grayscale Bitcoin Trust (GBTC), a product that is fully backed by Bitcoin and allows accredited investors to gain exposure to BTC without owning the underlying asset.
According to Rooke, Grayscale is buying Bitcoin faster than the rate of new supply entering circulation.
“Grayscale’s Bitcoin Trust bought 18,910 Bitcoins since the halving. Only 12,337 Bitcoins have been mined since the halving. Wall Street wants Bitcoin, and they don’t care what Goldman Sachs has to say.”
Recent announcements made by Coinbase, Bitgo and Genesis Global Trading also appear to bolster the narrative that Wall Street is entering the space at an accelerated rate as these industry leaders are currently enhancing their platforms with features targeting institutional clients.