[2019-12-17] Bitcoin’s failing price could be caused by $2B Chinese Ponzi scheme - page 2.

Betwrong

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Quote from: bbc.reporter on December 17, 2019, 09:41:08 PM

@CryptoBry. It is clearly not speculation anymore. There are new evidences from Chainalysis that support Dovey Wan's hypothesis.

https://blog.chainalysis.com/reports/plustoken-scam-bitcoin-price

So it's true then? Not only those scammers robbed millions of people, but now they are crashing the market? FFS, when will it end? When people are going to realize that this

Quote from: https://blog.chainalysis.com/reports/plustoken-scam-bitcoin-price

PlusToken presented itself as a cryptocurrency wallet that would reward users with high rates of return if they purchased the wallet’s associated PLUS cryptocurrency tokens with Bitcoin or Ethereum. The scammers claimed those returns would be generated by “exchange profit, mining income, and referral benefits.”

is a red flag?

Well, probably never. I personally know a person who was scammed 3 times already, during the past 5 years. And yet he contacted me a couple of months ago trying to convince me to buy another scam coin, in which he already invested by the time. Sometimes I think it's a kind of incurable disease, and we will always have such people around.

Back to the topic though. Although the report is saying that "the scam attracted over $3 billion worth of cryptocurrency", in the end they repeat the "20,000 BTC" which "has yet to be cashed out". And I think the process of dumping this amount, even if it will be dumped entirely, will not be affecting the market for too long.

bbc.reporter

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@CryptoBry. It is clearly not speculation anymore. There are new evidences from Chainalysis that support Dovey Wan's hypothesis.

https://blog.chainalysis.com/reports/plustoken-scam-bitcoin-price

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Whether this very big ponzi scheme and the eventual offloading of Bitcoin and Ethereum they got caused this ongoing dump will always be subject to debate and speculation though what can be certain is that a thing like this magnitude can certainly be affecting the market in one way or another so the debate should be the extent of the influence that PlusToken is able to pull in the coming days and weeks, as certainly more offloading can be coming. In the current market where demand is not that impressive, any movement can surely be a big pull that can push Bitcoin down to the drain. Let's hope that the coming of 2020 will be changing this scenario for the better.

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Quote from: Bossian on December 17, 2019, 11:05:37 AM

You beat me to it

was about to post the same thing.
Was reading this https://cryptobriefing.com/bitcoin-plustoken-ponzi/

What do I think?

I don't really care. I believe Bitcoin price strictly follows TA (technical analysis) big majority of the time. Second I am not sure how and from which source they could get such information. Curious to see the effect on price but as I was saying Bitcoin price is mostly dictated by trading analysis anyway. Fundamentals barely have any effect.

It was @Thewolf666 that beat everyone to it.

https://bitcointalksearch.org/topic/2019-08-15-a-mysterious-3b-chinese-ponzi-scheme-is-being-blamed-for-bitcoins-5175906

The news was also treated as fud and the person responsible for exposing the scammers was called a social media randomer hehehe. I reckon the excitment of the pump had ears closed.

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Quote from: Betwrong on December 17, 2019, 11:01:19 AM

Forbes wrote yesterday that "the bitcoin price might struggle over the short term due to the $2 billion PlusToken scandal", but I tend to agree with the words from thenextweb's article, namely with "correlation doesn’t exactly mean causation". I think the current market can easily devour 20,000 BTC, that is, according to the article, "is still waiting to be dumped", without even noticing it.

What do you guys think?

45,000 BTC and 800,000 ETH -- around $400 million -- is a considerable amount for the spot market. During market conditions like 2017, it could probably absorb that easily enough, but in 2019? I'm not sure. I imagine it's having a non-negligible effect.

The PlusToken scammers are slowly offloading to OTC brokers, who are then pressuring exchanges like Huobi down. Arbitrage among the global exchanges handles the rest.

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You beat me to it

was about to post the same thing.
Was reading this https://cryptobriefing.com/bitcoin-plustoken-ponzi/

What do I think?

I don't really care. I believe Bitcoin price strictly follows TA (technical analysis) big majority of the time. Second I am not sure how and from which source they could get such information. Curious to see the effect on price but as I was saying Bitcoin price is mostly dictated by trading analysis anyway. Fundamentals barely have any effect.

Betwrong

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Bitcoin’s failing price could be caused by $2B Chinese Ponzi scheme dumping its crypto

...

However, the firm made it clear that while it does indeed conclude that PlusToken cashouts correlate with drops in Bitcoin‘s price, correlation doesn’t exactly mean causation.

What Chainalysis does say is that PlusToken dumping causes increased volatility in Bitcoin’s value, as well as correlates significantly with Bitcoin price drops.

“Keep in mind that PlusToken cashouts are just one of many potential influences on Bitcoin’s price. Media stories, concerted market manipulation efforts, algorithmic trading errors, or any number of other factors may have contributed to volatility as well,” said the firm.

https://thenextweb.com/hardfork/2019/12/17/bitcoin-cryptocurrency-price-dump-ponzi-scheme-plustoken/

Forbes wrote yesterday that "the bitcoin price might struggle over the short term due to the $2 billion PlusToken scandal", but I tend to agree with the words from thenextweb's article, namely with "correlation doesn’t exactly mean causation". I think the current market can easily devour 20,000 BTC, that is, according to the article, "is still waiting to be dumped", without even noticing it.

What do you guys think?

Topic: [2019-12-17] Bitcoin’s failing price could be caused by $2B Chinese Ponzi scheme - page 2. (Read 311 times)