No, Jane Street Isn't Dumping Your Bitcoin

 There's a rumor going around that Jane Street, a quantitative investment firm, just got exposed for suppressing the price of Bitcoin.

This came after they were sued for insider trading that allegedly helped contribute to the collapse of Terra $LUNA in 2022.

Let me be straight with you.

Jane Street is not suppressing Bitcoin.

One firm is not running some grand conspiracy to dump the price at exactly 10am every morning.

When price is moving against you, it's easier to conjure up a villain than accept supply and demand.

The funniest part is that the days after Jane Street got sued, the media pointed to Bitcoin no longer dumping in the morning session as the "smoking gun." Case closed, right?

Except the broader software sector happened to bottom on the exact same day that headline broke.

Just look at the correlation between Bitcoin and software over the years. They trade tick for tick.

So what changed? Jane Street got caught? Or did the entire risk-on complex simply find a floor at the same time, like it always does?

If there's one thing I want you to take from this post, it's that you need a strong BS filter in these markets, especially in crypto.

People will throw conspiracy theories at you every chance they get. Humans are hardwired to find patterns where there are none.

This whole Jane Street story is nonsense.

As you were.

Cheers,

Louis Sykes
Senior Crypto Analyst, All Star Charts