Celsius bet on the fall of Ethereum by selling coins
Broken lending platform Celsius bet on the price of Ethereum (ETH) to fall by selling a large number of coins.
Over the past week, Celsius has moved more than $125 million worth of ETH onto cryptocurrency exchanges, apparently to offload assets. The company owns another 539,000 Ethereum, which is worth $1.4 billion at current rates, and plans to convert altcoins into fiat currency in the near future to pay compensation to customers.
Most likely, Celsius sold ETH when the price of the coin was fluctuating in the range of $2600-2700 in order to get maximum profit. The MVRV (Market Value to Realized Value) indicator for 30 days, reflecting the ratio of the market and realized value of ETH, is at the level of 13%, signaling a high risk of a dump.
During the bullish rally that started on January 8, the Ethereum rate soared by 25% and reached a record value since May 2022 at $2,718. However, the price of the coin could not stay above this barrier and collapsed by almost 10%. Judging by the chart, ETH may fall in price to the upward trend line, which is currently around $2,455.
Possible change in the Ethereum rate
