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Former SEC Official Names Key Reason Behind Bitcoin’s Recent Recovery

Sun, 01/15/2023 - 16:54
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Alex Dovbnya
A former SEC official, who has emerged as one of the most vocal cryptocurrency critics, is convinced that the recent price uptick can be attributed to price manipulation
Former SEC Official Names Key Reason Behind Bitcoin’s Recent Recovery
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Bitcoin has managed to reclaim the $21,000 level, emerging as one of the best-performing assets of 2020, and a former SEC official believes he knows one of the key reasons driving its resurgence.

John Reed Stark, formerly a member of the Securities and Exchange Commission, opined that market manipulation is playing an outsized role in bitcoin’s recovery.

Citing a Forbes analysis of 157 crypto exchanges, Stark concluded that roughly half of the reported Bitcoin daily trading volume was likely bogus. 

Of course, Bitcoin proponents have pushed back against Stark's claims.  

In addition to this tacit manipulation, some believe that macroeconomic trends are behind this Bitcoin’s momentum.

India’s Central Bank Head Calls for Blanket Ban on Crypto
In a recent tweet, Galaxy Digital CEO Mike Novogratz suggested two unconventional ideas for why crypto is ‘ripping': Japan’s Bank Of Japan introducing rapid liquidity into markets combined with China backing away on regulatory enforcement of blockchain and cryptocurrencies. According to Novogratz, it is a "story to watch in 2023."

It remains to be seen what impact such factors will have on Bitcoin's trajectory going forward but the story appears far from over.

The price of Bitcoin remains down nearly 70% from its record high that was achieved in November 2021.   

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About the author

Alex Dovbnya (aka AlexMorris) is a cryptocurrency expert, trader and journalist with extensive experience of covering everything related to the burgeoning industry — from price analysis to Blockchain disruption. Alex authored more than 1,000 stories for U.Today, CryptoComes and other fintech media outlets. He’s particularly interested in regulatory trends around the globe that are shaping the future of digital assets, can be contacted at