Someone with very deep pockets believes the bottom has been put in on Bitcoin.
Looking at data from the blockchain we can see that someone has purchased over $400 million worth of bitcoin in the last few weeks.
Large purchases of bitcoin have been going to this address over the past few weeks:
After accumulating close to 55,000 bitcoins the anonymous investor added another 41,000 bitcoins between February 9th and February 12th.
Bringing his total to roughly 96,000 bitcoins.
Who is this anonymous investor?
It isn't clear exactly who made the buy, but I don't think it was any coincidence that bitcoin just so happened to have it's massive drop on the same day that the first bitcoin futures contracts expired.
Which was also the first time Wall Street really started to dip their toes into the asset class.
If I had to guess, I would say that Wall Street money helped push bitcoin all the way to that $20k number and then I would bet they shorted it heavily via puts/futures and rode it back down to $6k.
From there, they are likely getting back in on the long side for the next major push higher.
Not all that surprising to some.
Many were thinking that Wall Street might do exactly that when they first started getting in late last year.
The rumors were that they would help drive prices up, take up short positions via options and futures, and then dump their holdings to make even more money on the way down via those derivatives.
Then when prices got low enough and started to show some support, they start getting back in on the long side.
Who knows whether that is actually what happened but it certainly makes sense.
Another possibility is that the buying could be for another fund/trust that is set to launch.
We'll just have to wait until we find out more information to know for sure who was doing that buying.
Either way though, those coins that were bought over the last week that were worth about $400 million at the time, are now worth close to a billion with bitcoin up over $10,000 per coin.
Looks like we have a new member of the Bitcoin Billionaire Club!