mercedes classe c amg: How a Whale Crashed Bitcoin to Sub-$7,000 Overnight

Selasa, 17 Desember 2019

How a Whale Crashed Bitcoin to Sub-$7,000 Overnight

Bitcoin lost billions of dollars worth of valuation within a 30-minutes timeframe as a Chinese cryptocurrency scammer allegedly liquidated its steal via over-the-counter markets. The initial sell-off by PlusToken caused a domino effect, causing mass liquidations.

PlusToken, a fraud scheme that duped investors of more than $2bn, dumped huge bitcoin stockpiles from its anonymous accounts, according to Chainalysis.

<p>The New York-based blockchain consultancy cited an internal investigation that showed <a data-wpel-link="exclude" href="https://blog.chainalysis.com/reports/plustoken-scam-bitcoin-price" rel="noopener noreferrer follow" target="_blank">PlusToken scammers on a systematic crypto liquidation spree</a>. Some of them have been actively selling bitcoin since June – right after the cryptocurrency established a year-to-date high of circa $14,000.</p> <p>It was the same period when the Chinese authorities nabbed people suspected to have been involved with the PlusToken scam.</p> <blockquote> <p>“Since that time, market observers have often pointed to possible sales tied to PlusToken suspects not in custody as one of many reasons for price declines,” wrote Chainalysis.</p> </blockquote> <h2>The Cascading Effect</h2> <p>The latest bitcoin crash took the cryptocurrency’s rate down by close to 4 percent. The wild move downhill accompanied a sudden spike in volumes, validating an interim breakout that <a data-wpel-link="internal" href="https://www.newsbtc.com/2019/12/16/investors-are-not-buying-bitcoin-at-current-price-is-btc-in-trouble/">NewsBTC predicted in one of its analysis</a>.</p> <div id="attachment_407608" style="width: 860px" class="wp-caption aligncenter"><a data-wpel-link="internal" href="https://www.newsbtc.com/wp-content/uploads/2019/12/bitcoin-price-17122019-1.png" rel="noopener noreferrer" target="_blank"><img alt="bitcoin, bitcoin price, btc usd" aria-describedby="caption-attachment-407608" class="size-large wp-image-407608" height="635" src="https://www.newsbtc.com/wp-content/uploads/2019/12/bitcoin-price-17122019-1-860x635.png" width="860" /></a> <p id="caption-attachment-407608" class="wp-caption-text">The sudden dump prompted bitcoin to come out a sideways trading range | Source: TradingView.com, Coinbase</p> </div> <p>Chainalysis noted that PlusToken had so far cashed out at least $185mn worth of bitcoin via OTC desks. Their cashout strategy, therefore, could have either manipulated the market dynamics directly or have indirectly changed the perception of traders towards bitcoin.</p> <blockquote> <p>“We can say that those cashouts cause increased volatility in Bitcoin’s price and that they correlate significantly with Bitcoin price drops,” added Chainalysis.</p> </blockquote> <div id="attachment_407615" style="width: 860px" class="wp-caption aligncenter"><a data-wpel-link="internal" href="https://www.newsbtc.com/wp-content/uploads/2019/12/5dee8bb6c810db4b0c1db0c9_bIM_J4mNdC3yVRwPJvtP6hyUwiOZAQrJU1BcWggx4StpHx7adTei_gyTuwJ8ucK-Z5ElWNjkJQoEI9_nv5HvjnKwTOKYoAfbnooHJklB_xBRO_jAIe4KwvQNs7fFNCxtmHzTrf_s.png" rel="noopener noreferrer" target="_blank"><img alt="bitcoin, plustoken" aria-describedby="caption-attachment-407615" class="size-large wp-image-407615" height="529" src="https://www.newsbtc.com/wp-content/uploads/2019/12/5dee8bb6c810db4b0c1db0c9_bIM_J4mNdC3yVRwPJvtP6hyUwiOZAQrJU1BcWggx4StpHx7adTei_gyTuwJ8ucK-Z5ElWNjkJQoEI9_nv5HvjnKwTOKYoAfbnooHJklB_xBRO_jAIe4KwvQNs7fFNCxtmHzTrf_s-860x529.png" width="860" /></a> <p id="caption-attachment-407615" class="wp-caption-text">PlusToken On-Chain volume against the bitcoin price | Source: Chainalysis</p> </div> <p>But the most fearsome takeaway remains the scammer’s likelihood of continuing the price dump. Chainalysis’s study shows that the entity still holds a massive stash of bitcoin that it might liquidate at a later stage. That raises the prospects of more price crashes unless there is an adequate demand to match the scammer’s supply flow.</p> <h2>Further Declines for Bitcoin</h2> <p>Overnight declines in the bitcoin market come at a time when <a data-wpel-link="internal" href="https://www.newsbtc.com/2019/10/16/bitcoin-underperforms-as-investors-focus-remains-on-brexit/">investors’ appetite for haven assets</a> is decreasing.</p> <p>With a more appealing stock market attracting capital, investors could ignore chartering into a widely-unregulated bitcoin industry. The presence of scammers like PlusToken highlights the issues relating to the lack of regulation of cryptocurrency firms.</p> <p>That being said, only a braveheart institution would expose itself to the underlying risks that come with a bitcoin investment – for now.</p> <p>The weight of a price reversal, therefore, falls on the traders that are already present in the cryptocurrency market.</p> <div id="attachment_407616" style="width: 860px" class="wp-caption aligncenter"><a data-wpel-link="internal" href="https://www.newsbtc.com/wp-content/uploads/2019/12/bitcoin-price-17122019-2.png" rel="noopener noreferrer" target="_blank"><img alt="bitcoin, bitcoin price" aria-describedby="caption-attachment-407616" class="size-large wp-image-407616" height="635" src="https://www.newsbtc.com/wp-content/uploads/2019/12/bitcoin-price-17122019-2-860x635.png" width="860" /></a> <p id="caption-attachment-407616" class="wp-caption-text">Bitcoin eyeing extended downside action | Source: TradingView.com, Coinbase</p> </div> <p>The price and volume continue to trend in tandem with one another. The parallel move validates the possibility of big price actions on larger timeframe charts.</p> <p>More likely, bitcoin could continue its downtrend towards the support area of the prevailing Descending Channel (green). That would bring the price at least towards $6,500, a level that served as support during the November session.</p> <p>That said, bears are more likely to open fresh short positions towards the said level while awaiting a breakout – the so-called big price action – towards the lower $6,000-region.</p> <p>At the same time, failure to extend the negative price action could result in a pullback. That could serve bulls with a decent long opportunity towards $7,300.</p>

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mercedes classe c amg

Selasa, 17 Desember 2019

How a Whale Crashed Bitcoin to Sub-$7,000 Overnight

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