Andrew Kang, the founder of Mechanism Capital, a prominent crypto venture firm, has reportedly doubled his backing of Bitcoin with a $200 million long position, as reported by onchain data. Kang’s investment leap was noteworthy in the crypto world, generating significant comment.
Crypto analytics firm, Arkham, spotlighted Kang’s escalated investment. They revealed that a crypto address associated with Kang had placed an additional $100 million long bet on Bitcoin. This venture could either profit or lose Kang an estimated $6.8 million.
Arkham identified the first $100 million leverage-long bet positioned by Kang on April 9, which coincidentally was the same day former US President Donald Trump urged his Truth Social platform followers to buy Bitcoin. However, a few hours later, Trump’s administration announced a 90-day suspension on its newly launched global tariff increase, triggering a surge in both crypto and stock markets.
Kang cited in his public statement on April 12 that the withdrawal from the trade war alongside the presumption that Trump will strive to raise the stock market as ideal remedies for reversing Bitcoin’s ongoing downtrend. He speculated Trump’s encouragement to buy Bitcoin as a potential indication of the former president’s intentions.
On another note, Senate Democrats urged the Securities and Exchange Commission in an April 11 letter to initiate an investigation into possible insider trading and market manipulation violations by Trump and his affiliates relating to his call to buy Bitcoin.
Meanwhile, Bitcoin experienced volatility due to the ambiguity surrounding the tariff exemptions on Chinese electronics. Over the past 24 hours, Bitcoin saw an approximate 2% swing, reaching its lowest at $83,197 before regaining stability and now hovering around $85,000. Trump reaffirmed his tariff stance on April 13 by revealing no exceptions were made, rather a shift of Chinese electronics towards a new 20% Tariff category.