Bitcoin Price Rebounds as Jane Street “10 am Dump” Pattern Stops Amid Lawsuit

The Bitcoin price and the overall crypto market have experienced one of their best days in performance since the beginning of the year. This was revealed by analysts who said that since Jane Street was sued, the selling pattern of the company ceased hereby offering relief to digital assets.

Was Jane Street Behind Bitcoin Price Crash?

A renowned investigator, Bark, posted on X that the company had been using an algorithm that was crashing down the price of BTC in a bid to buy back at a lower price. Jane Street’s current lawsuit made them stop the manipulation that resulted in the crypto market pump.

For context, the price of Bitcoin, along with other top cryptocurrencies, recorded a massive surge. This led to the addition of more than $170 billion to the market cap. Additionally, the crypto market cap rose by 7%, reaching $2.4 trillion. Also, the price of BTC rose above $70,000 after weeks of consolidation.

The Jane Street lawsuit was filed this week by the administrator of the liquidation process of Terraform Labs. It was claimed that the company used non-public information obtained from insiders at Terraform Labs to front-run the trades concerning the failure of the Terra-Luna ecosystem developed by Do Kwon.

Experts Back Claim of Market Manipulation

Another crypto expert, Nonzee, also shared his analysis supporting the claim of the Bitcoin price dump. He mentioned that for some time, 10 a.m. Eastern time means dump time for the manipulators at the firm. He further said that instead of the coin falling rapidly, it rose higher from 10 am after the filing of the lawsuit related to insider trading.

Meanwhile, there are no signs to suggest whether Jane Street sells BTC at a particular time of the day. The timing of yesterday’s rally, however, has begun sparking rumors in crypto. This may suggest that one of the primary reasons for the constant selling pressure on Bitcoin may be eliminated.

The recent crash of the crypto market has been harsh. This has been especially evident with the recent crash of the Bitcoin price by more than 50% since October. At the start of the year, experts like Peter Schiff had predicted steeper declines for the coin.

Bloomberg analyst Eric Balchunas was quick to comment on the Jane Street news on X. He concurred with the idea that the firm was behind the daily pressure on the token. He was also optimistic about this being the start of a sustained rebound for the token.