Did the Purported Fraud PlusToken Manipulate the Bitcoin Price?

This year has been a great year for the crypto world. Okay, not as great as the 2017 craze, but it is a long way up compared to what we saw last year. As good as that sounds, several indicators show that the price curve was, in fact, influenced by some in-house players.

Could PlusToken, which is accused of a $3.2 billion fraud, be the reason for the bull and bear price actions in the Bitcoin(BTC)trade market?

Starting from a low point, Bitcoin was able to rise well above the $10,000 mark this year. Oh, well, it wasn’t a smooth ride – and still isn’t. The Bitcoin price has experienced some inevitable fluctuations around the year. June boasts the peak of the price curve; however, the price seems to be falling lately. The largest cryptocurrency, which once towered well over $12,000 recently crashed to a little above $7,000.

Questions arose when the sustained fall coincided with the arrest of an alleged scam operated by some PlusToken executives.

An analyst who doubles as the co-founder of Primitive Crypto, Dovey Wan, is of the opinion that some PlusToken investors may have a thing or two to do with the bull and bear price actions in the BTC market this year. Tracking the sales of PlusToken so far, findings show that the fraudulent scheme, which was highly impactful in China, made a large cash out using the influence of BTC.

Supporting her claim, in a tweet Wan shows her ‘rough’ calculations of how emptying out PlusToken’s wallet in July may have been the reason for the sharp fall experienced at the time.

IMO PlusToken is the main force for both the bull and bear from April to YTD

What I can share publicly here

1. After CNY 2019 (Feb 5th) PlusToken on-ramp spike up significantly in Mar and Apr

2. Its team were arrested Vanuatu time on 6/25.. BTC crashed a day after https://t.co/WGvTLYmpgd

Another part of her observation confirms that PlusToken’s wallets are yet shedding digital coins and that could very well be the reason for the recent Bitcoin crash from $8,500. A wallet rumored to control about 187,000 BTC will definitely have a huge pull on the price curve.

In related crypto news, PlusToken reportedly holds a whale wallet full of Ethereum (ETH)trade, 10 million ETH to be exact (a cryptocurrency haul worth around $1.5 billion in current Ethereum price). You may want to ask why the second-largest digital currency is fairly stable despite the rumor. Well, rumor has it that PlusToken has not moved any ETH from the wallet yet.

Although we are yet to know the full truth, we would like to hear your opinion.