Bitcoin Whale Puts Crypto Traders on Alert, Warns ‘Phantom Money’ Pushing Price of BTC

A crypto whale who made $20 million in realized profit from December to January on the crypto exchange Bitfinex says “phantom money” may be behind Bitcoin’s recent rally to $10,000.

The influential trader known as Joe007 says trading tactics such as spoofing – which is an attempt to create a false sense of demand by placing large buy or sell orders without the intention of filling them – appear to be the principal force driving price action in 2020.

“You can push the price only so long with fantom money. At some point, people would want to cash out their mad gainz only to find no one on the other side of the market. That would be the show.”

Joe says he’s concerned about a lack of fiat inflows in the crypto markets.

He’s watching the market cap of the stablecoin Tether (USDT), which is used by traders to exit crypto positions and sidestep volatility. In theory, a growing Tether market cap may signal an influx of cash entering the…