{"id":407279,"date":"2019-12-14T12:00:35","date_gmt":"2019-12-14T12:00:35","guid":{"rendered":"https:\/\/wncen.com\/?p=407279"},"modified":"2024-06-11T13:35:13","modified_gmt":"2024-06-11T13:35:13","slug":"bitcoin-price-press-higher-plustoken-liquidations-slow","status":"publish","type":"post","link":"https:\/\/wncen.com\/news\/bitcoin-price-press-higher-plustoken-liquidations-slow\/","title":{"rendered":"Could Bitcoin Price Press Higher as PlusToken Liquidations Slow?"},"content":{"rendered":"

Over the past few months, the crypto industry has been awash with news about the PlusToken Bitcoin<\/a> scam, which allowed scammers to accrue billions worth of digital assets over the course of a year-long operation.<\/p>\n

For some context, PlusToken<\/a> was a cryptocurrency “wallet” and storage solution that gave users returns on their deposits and also gave refers rewards, acting much like a classic Ponzi scheme but with a cryptocurrency backdrop.<\/p>\n

Earlier this year, a number of ringleaders of the operation were arrested in Vanuatu, though a few individuals remain missing abroad. While few in the West have heard of the scheme, for it was operated mainly out of China, data indicates that the firm stole upwards of $3 billion of cryptocurrencies, mainly Bitcoin, at its peak.<\/p>\n

Related Reading: Why Bitcoin\u2019s Plunge to $6,500 Might Have Been the Bottom<\/a><\/h6>\n

And according to analyses by on-chain analyst Ergo, the remaining ringleaders of PlusToken have likely been selling \u201ca little over 1,100 BTC per day\u201d<\/a> via mixers and exchanges, which is approximately 60% of the daily block rewards issued by the Bitcoin network, and has been for at least the past four months.<\/p>\n

If PlusToken and other scams have really been liquidating millions of dollars worth of Bitcoin a day, that would explain why the leading cryptocurrency\u2019s price has bled out by some 50% over the past six months<\/p>\n

Data shows, however, that the selling pressure of these coins on the underlying BTC spot market is starting to slow, presenting a potential bullish case heading forward into the end of 2019 and into the start of 2020.<\/p>\n

PlusToken Selling Abating, Presenting Bullish Bitcoin Case<\/strong><\/h2>\n

Ergo’s latest analysis has found that the PlusToken coin distribution has “dropped off a cliff,” purportedly falling far below 500 coins per day, under half of what was seen just a week or two ago.<\/p>\n

In fact, he noted that over the past week, the average coin distribution from Bitcoin wallets purportedly owned by the scammers, has collapsed well under 300 coins per day, which coincides with an uptick in public awareness about the liquidations.<\/p>\n

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Recently I wrote a thread regarding the multi-billion dollar PlusToken scam it\u2019s potential market impacts. <\/p>\n

A few days later, the exchange rate fell out of bed and the bloggers attached themselves to this narrative for a few news cycles.<\/p>\n

So what\u2019s the status of the PT coins? pic.twitter.com\/V8r78P4gB8<\/a><\/p>\n

— \ud83c\udff4\u2234boxes full of pepe\u2234\ud83c\udff4 (@ErgoBTC) December 13, 2019<\/a><\/p><\/blockquote>\n