An insider on anonymous board 4Chan claims this was a coordinated attempt to sell off tank the Bitcoin specifically crypto market yesterday. Earlier this week, news broke out of a renewed cryptocurrency crackdown by the Chinese government. A joint statement released by three industry bodies said that financial institutions could no longer conduct business related to cryptocurrencies.
An anonymous 4Chan user not only predicted yesterday’s massive sell-off on the crypto market but also claimed that it was an organized Chinese campaign aimed at a single stakeholder, half a day before the crash.
According to him, the price reduction will be a coordinated sell-off to drop the prices below a certain threshold and liquidate one certain stakeholder, adding:
“Can’t tell you guys what firm I work for, but it’s MASSIVE and it’s working with the PRC (People’s Republic of China). The purpose of today’s press release alongside all the FUD posting is to get BTC as low as it can get before 7 am UCT,”
At the time, China’s central bank released a press release that called for a ban on financial institutions and payment companies dealing in cryptocurrencies. Later, reports surfaced out that the news was somewhat misleading.
The anonymous insider explained that the purpose of the sell-off was to attack a single stakeholder.
“First there will be a coordinated sell-off to drop the prices below a certain threshold and liquidate one certain stakeholder (can’t outright say who he is but he bought a lot at the dip he was partly responsible for). Once liquidated, the plan is to buy up all of the reserves and essentially leave him bankrupted.”
The post was made 12 hours before markets dumped, indeed confirming the sell-off.
It should be noted that the 4Chan user's information is without a verifiable source just rumors this should not be taken as anything other than a regular conspiracy theory.
With the cryptocurrency market collapsing yesterday, prices of most cryptocurrencies slid by up to 40-50% in a matter of hours.
Leading cryptocurrency Bitcoin slid down $30,000 at the time, losing $9 billion lost in liquidated trading positions.
Against the backdrop of the general crypto market sliding down this week, Polygon’s MATIC continued rallying to its new all-time highs of $2.62 on May 18, gaining 106% against the dollar and 142% against Bitcoin.
On May 18, Solana (SOL) reached its all-time high above $58 and ended the week some 4% up against the dollar, beating Bitcoin by 23%.
Harmony's ONE token was another asset that did remarkably better this week, coming close to its all-time high of $0.20 last seen back in March.