Over the past 30 days, the native Celsius network token CEL has risen over 140% against the US dollar. On July 13, just before the loan company filed for Chapter 11 bankruptcy, CEL was trading hands for $0.961 per unit. Following news that the company filed for bankruptcy, the native crypto asset fell 58% to a low of $0.40 on the same day. CEL managed to recover from the drop, as the digital currency is currently trading at prices between $0.69 and $0.73 per coin on July 14.
So-called CEL Short Compression Attempt Slips, Token Drops 58% After Bankruptcy
Following the company’s suspension of withdrawals and other operations on the lending platform, traders on social media started a trend of getting people to “short” the CEL crypto asset. Social media posts on Twitter, Redditand Facebook claim that Celsius Network’s native CEL token is minted by members of the Celsius community.
Some people promoting the orient oneself explain that skyrocketing the value of CEL will help the Celsius company out of its financial difficulties. Influencers claim the move is akin to Gamestop’s infamous short-squeeze attempt pushed by members of the subreddit’s community r/wallstreetbets. “[The] CEL Short Squeeze metrics are still on our side,” one person wrote on Wednesday. “93% of the CEL token remains locked to Celsius,” the Twitter account added.
However, promoters of CEL short squeeze have been criticized as people have criticized the idea a good deal. Some have said that those promoting the short compression concept of CEL should be held accountable. Despite the criticisms, the concept is still being promoted on social media platforms at the time of writing July 14, 2022. Market data shows that celsius network tokens (CEL) have risen more than 140% against the US dollar in the last month of trading sessions.
Additionally, CEL peaked on July 13 at $0.961 per unit based on Wednesday metrics, but on the same day CEL fell to $0.40 per CEL after the company filed for Chapter 11 bankruptcy. made the headlines. The crypto asset has rebounded from the low of $0.40 per CEL hit on Wednesday and the next day CEL was trading for just over $0.80 per coin on Thursday. At the time of writing, July 14, 2022, between 4:30 and 5:30 p.m. ET, CEL is trading between $0.69 and $0.73 per coin.
While CEL is down more than 19% against the US dollar, the crypto asset is down 23% against bitcoin (BTC) and 27% against Ethereum (ETH). CEL is currently ranked 116 out of 13,400 existing crypto assets, and it has fallen 90% since the all-time high in digital currency (ATH). CEL hit $8.05 per coin about a year ago on June 4, 2021, and it’s already ranked in the 36th place in terms of market capitalization.
What do you think of the so-called CEL short squeeze and the crypto asset’s over 58% drop in value on Wednesday? Let us know your thoughts on this in the comments section below.
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