The recent decline in crypto prices may have had several contributing factors.
As was mentioned yesterday, the UPbit exchange was raided by local authorities for what they were calling fraud.
More about that can be seen here:
https://steemit.com/upbit/@jrcornel/crypto-seeing-red-as-upbit-gets-raided
It is unclear exactly what they did, but the rumors are that they lied about their balance sheets to mislead investors and possibly also improperly used customer holdings.
The exact phrase was, "sold coins that they didn't actually own".
However, it appears there was likely more to the weakness than just the UPbit raid.
As was reported by several news outlets yesterday, it appears there was also some movement from the Mt. Gox Bankruptcy Trustee's wallet.
(Source: https://www.ccn.com/8200-btc-moved-from-mt-gox-wallet-possible-sell-off-affects-bitcoin-price/)
As you can see, just over 8k bitcoins moved from the wallet address that is known to be his.
Whether those coins actually get sold or not is anyone's guess, but at this point any time those coins move is enough to cause selling in the market.
Another point of interest is that about 16k coins moved from those wallets a few weeks back as well.
Whether these orders are getting filled OTC or on the open market is hard to tell at this point, but he did sell coins on the open market before when he sold.
(Source: https://www.ccn.com/8200-btc-moved-from-mt-gox-wallet-possible-sell-off-affects-bitcoin-price/)
All this has added up to major weakness leading into a usually very bullish event.
The Consensus conference is expected to have over 8k people in attendance and is often a very bullish event for cryptocurrencies every year.
The savvy trader might have used this morning's weakness to pick up some cheap coins just in time for the seasonal rally.
Will history repeat and us see a significant rally again on the heels of the conference or is the latest round of bearish news too much for the seasonality aspects to take over?
The good news is that we won't have to wait long to find out.
The conference starts on Monday (May14th) and lasts through Wednesday (May 16th).
Stay informed my friends.
