Famous Bitcoin whale Joe007: Bitcoin's rise before halving lacks liquidity and is suspected to be manipulated by large players

Original source: Babbitt

summary:

A Bitcoin FOMO (fear of missing out) rally ahead of the mining reward halving could fail, a prominent analyst has warned.
The cryptocurrency rose more than 21%, heading for its best week since June 2019.
Bitcoin whales believe that the uptrend is being carried out on the back of poor liquidity, which increases the likelihood of a sharp pullback.

Bitcoin has surged more than 21% this week as of Thursday, but bitcoin whales believe the ongoing bull run is a fake.

A well-known trader expressed his pessimism about the possibility of a bull market. Bitfinex leaderboard shows that he currently has a paper loss of more than $20 million (this month) due to shorting Bitcoin.
He called Bitcoin’s surge an “organized FOMO rally” in which large players are using the halving to manipulate small traders into the market.
The whale retweeted ZeroHedge’s Tyler Durden on Thursday:

Liquidity Crunch The next Bitcoin halving event, expected to take place on May 12, 2020, will cut the cryptocurrency’s mining rewards in half — from 12.5 BTC to 6.25 BTC.
Traders expect the new scarcity to somehow make Bitcoin more valuable in the future, with one popular price prediction model even predicting a $100,000 price target for Bitcoin by 2021.
The market sentiment is positive, with Bitcoin prices having fully recovered from their 2020 low of $3,858. As prices approached $9,500 during Thursday’s trading session, traders were optimistic about the possibility of exceeding $10,000 before the halving.
However, events that slash supply create short-term risks for the community of miners who relentlessly produce Bitcoin. As the dollar-based mining reward is cut in half, miners risk going bankrupt. Therefore, in order to cover operating costs, they need to sell their newly minted Bitcoins at higher prices.
The buying pressure then shifted to the spot market as traders and investors faced the economic crisis brought on by the rapidly spreading COVID19 pandemic.
During this period, asset managers, hedge funds, family offices, and even ordinary investors tend to exit assets prone to volatility to hold cash and mitigate potential losses.
This is known as a liquidity crunch. For the same reason, the historic sell-off in Bitcoin and the US S&P 500 occurred in mid-March. Later, central banks intervened with expensive stimulus programs, bringing much-needed liquidity to risky markets. As usual, Bitcoin benefited again.
Does USDT drive up Bitcoin prices?
The global economic crisis is far from over. So the answer to whether traders and investors will remain receptive to risk assets amid the coronavirus pandemic could help point the way for Bitcoin.
However, according to the whale, no one is discussing the low liquidity in the Bitcoin market. He even went on to say that Tether’s stablecoin USDT is artificially inflating the price of Bitcoin to draw attention to the halving event.

But the whale believes that Bitcoin's long-term trend is still to the upside, driven by organic demand from institutions and retail players. The COVID-19 crisis must now be stopped to help economies reopen, thereby creating value and prompting large and small investors to allocate part of their income to buy Bitcoin.