Well, Bitcoin (BTC) decided to take the bearish path, or maybe larger players that shape the market made the choice for it. The ascension from the narrowing pennant proved to be a fakeout and a tweezer top at $10,278 was followed by a sharp reversal all the way to the bottom of the larger bull pennant that Bitcoin has traded in since topping out at $13,800 on June 26th.
The majority of popular crypto-Twitter traders fell mysteriously mute as the carnage unfolded on August 28. As mentioned previously, the danger of issuing price action absolutes rooted in hubris is that the unpredictably cruel hands of fate often bring down the self-assured faster than Icarus fell in his ill-planned mission to escape Crete.
As the day progressed, however, analysts began to piece together a narrative that explained how the bear break could have occured and some interesting theories surfaced.
A market maker makes a whale-sized trade
A $120 million buy wall on BitMEX stands out as an anomaly, (if those exist in the crypto market) that could have impacted today’s pullback but that is yet to be determined. One trader who goes by the moniker CryptoMonk suspects that the buy wall was “someone trying to unload some corn.” Or, in simpler terms, a large seller threw up a buy wall to maintain Bitcoin price while unloading from their own stack.