Is it strange that Celsius Network token didn’t crash more substantially?

Celsius Network, a CeFi platform, which revealed was trading whilst insolvent for a number of months has filed for chapter 11 bankruptcy. They have something like a ~1.5B USD hole in the books.

*Chapter 11 is where they try to reorganise through the courts to emerge and carry on.*

Trust has completely been erased from its user base as you can see viewing its subreddit. Celsius beating the odds to emerge from chapter 11 and being able to obtain new users to me seems low in probability.

So the expectation would be for it’s native CEL token to see a continued downward price movement as the holders of it, ones not locked due to the court case, sell off to a very limited amount of buyer enthusiasm.

From the price charts, it’s not the case however.

Volume is low but not in an abnormal range, it still sits within the ~100 ranking of marketcap. All in all compared to most alts within the bear market it has maintained something of a value given its situation.

Seems unusual, thoughts?

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17 thoughts on “Is it strange that Celsius Network token didn’t crash more substantially?”

  1. The celsius community was buying up the token to help the company pay back its users. Not sure if it’s still happening as it appears to be for naught

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  2. The large majority of CEL tokens are locked up in bankruptcy now. Same with VGX Voyager token. Voyager specifically said that depositors will be made whole by some crypto that they owned, Voyager stock in the newly, reorganized company, and VGX token. Imagine how many VGX tokens will have to be minted in order to fill that hole. Same will be for CEL token. It is going to be like Terra Luna after the bankruptcy process is finished and these billions of tokens are issued. No way CEL survives.

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  3. A lot of people think some hero will rescue Celsius and they will get their funds back. So they throw more money after it in this belief. Sad.

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  4. Market manipulation seems like a thing that happens rarely but in reality, it is an integral part of all centralized exchanges. Mashinsky obviously had good contacts in the industry, Cointelegraph even put him on the “Top 100 influential people in crypto” list while in reality, he brought zero innovation to the industry itself.

    Someone is helping him out so he doesn’t drown in this shitstorm. There is absolutely no reason for anyone with half a brain to invest in CEL right now considering that the company is insolvent and filed for bankrupcy.

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  5. Almost certainly, they were bailed out behind the scenes like all the other exchanges.

    Crypto couldn’t allow itself to fail, as was proven by SBF and co bailing out other exchanges.

    Zero doubt in my mind this shit is being propped up by the wealthy at this point.

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