Claims of Jane Street’s 10 AM Bitcoin Dump Divide Analysts
Cryptocurrency investors have accused quantitative trading firm Jane Street of manipulating Bitcoin prices through a daily, programmatic sell-off at the US market open. However, market analysts and data suggest that such claims may be overly simplistic.
The narrative centers on the idea that Bitcoin regularly drops shortly after 10 AM Eastern Standard Time, coinciding with the start of US trading. Onchain analyst Nonzee pointed to an hourly Bitcoin chart showing consistent price drops at this time, alleging coordinated algorithmic selling by Jane Street. Whale Factor further claimed that Bitcoin has recorded a 2% to 3% daily drop minutes after the US open since early November.
One Company Can’t Drive a Bear Market
Despite these claims, many market participants argue that it is unlikely for one entity to dominate such a global and fragmented market as Bitcoin. Macro analyst Alex Krüger shared blockchain data indicating that Bitcoin’s price does not consistently fall at 10 AM, suggesting the theory of a “systemic dump” may be unfounded.
Nick Puckrin, co-founder of educational platform Coin Bureau, emphasized that Bitcoin’s price is driven by multiple factors beyond any single firm. He noted that recent market weakness can better be explained by geopolitical uncertainty and competition for investor attention from the growing AI sector.
While Jane Street’s massive position in BlackRock’s iShares Bitcoin Trust ETF (IBIT) has fueled speculation about potential market manipulation, analysts caution that such activities are not unique to one company. Julio Moreno of CryptoQuant highlighted common strategies used by delta-neutral funds to capture spreads without necessarily driving price movements.
The debate continues as the crypto community awaits further evidence and analysis to substantiate these claims.
