In the last 37 hours, the Bitcoin price was hurled from $9,124.57 to $7,867.52. And it seems every expert holds a different opinion about the underlying reasons for the Bitcoin crash.
Some believe Bitcoin is under the influence of the global financial meltdown, others blame the weak hands selling off pre-halving. But the main reason might be the massive BTC sell-off initiated by the PlusToken Ponzi scheme participants.
Someone is Watching
A Twitter account that goes by the name @ErgoBTC has revealed the PlusToken’s activities over the last 24 hours. According to Ergo, PlusToken has dumped 13K BTC into the market. And that is what has led to this weekend bloodbath.
~13k in new PlusToken mixer deposits in last 24 hrs.
Almost all previous mixer deposit change has entered mixing, confirming my theory.
Distributions still on/off. Much slower than September and November.
New report and full sit rep imminent. pic.twitter.com/vwrBuVk272
— Ergo ∴Politically Charged∴ (@ErgoBTC) March 6, 2020
The scammers seem to have unloaded their assets worth $210 million using a mixing service, leaving the assets untraceable.
Ergo is not the only one to believe so. Twitter account @IvanonTech also twitted the dump seems “artificial”.
Unfortunately, Ivan’s “Bitcoin Madness” video was taken down by Team YouTube once again.
This has happened in the past too!
Previously, Chainalysis tracked that the PlusToken scam attracted crypto assets worth $2 Billion. The breakup looks like this – 180,000 BTC, 6,400,000 ETH, 111,000 USDT and 53 OMG. And this makes it the largest Ponzi scheme ever.
In August 2019, small batches of 50-100 BTC were being unloaded by the PlusToken participants on to the exchanges. And the modus operandi seems to be the same this time too. But this time the unloaded rate seems to be much slower.
Source: @kevinSvenson_
Non-Bitcoiner Schiff bounces back
Peter Schiff, the gold bullion is not at all surprised by the crash. No wonder he might be a non-believer of this PlusToken BTC sell-off theory too. According to Schiff, Bitcoin has failed to rally when the traditional financial situation was healthy. And with everything melting down now, Bitcoin is just following the steps
There is nothing surprising about this crash to anyone following me on Twitter. I repeatedly warned last week that Bitcoin's failure to rally on the most ideal financial circumstances meant a crash was coming! https://t.co/jGJX8pTQHz
— Peter Schiff (@PeterSchiff) March 8, 2020
Other Narrative
SignalProfits.com Founder, Jacob Canfield also favors the PlusToken narrative but he added two more to the list.
- All Market sell-off due to Coronavirus
- Bearish market due to miners hoarding BTC
If you're looking for bearish narratives, there are currently 3 that could be impacting #bitcoin
1.) Coronavirus (all markets selling off)
2.) Miner hoarding (typically strong bearish indication)
3.) PlusToken scam dumping on the market again. (They moved 19k bitcoin yesterday)— Jacob Canfield (@JacobCanfield) March 7, 2020
According to Jacob, PlusToken unloaded 19K BTC. Which narrative do you believe lead to the dump? Let us know in the comments section below.
