The exchange’s native token Celsius (CEL) jumped over 500% from $0.33 to $2.56 in minutes. The token, which had steadily risen throughout the day, experienced a huge spike in volume and soared to its highest price since April 12.
However, the recovery was short-lived as the price fell to $0.56 in minutes. At the time of writing, the price is still up 115% on the day, opening just $0.26.
The surge was not limited to one exchange: BitFinex, FTX, Gate.io, and OKEX experienced similar surges. However, the highest peak was on FTX, indicative of large market buying on the leading US exchange.
Over the past few days, there have been many rumors, speculations and chatter about Celsius’ liquidity. As the price of bitcoin (BTC) plummeted earlier in the day, many were watching the Celsius vault over the Maker Protocol. Because Celsius added collateral to the vault to prevent liquidation earlier in the day, this price spike is highly unusual.
The cause of the pump is currently unknown as it is an evolving story.
UPDATE 18:43 BST: Strange trading levels persist as BitFinex’s CEL price declines to $0.09 before stabilizing around $0.55.
Amid the unusual trading activity, some users have reported that they were having trouble trading $CEL on FTX when orders were canceled unexpectedly.
The other day again the problem with FTX. I have been trying to close my CEL position for the last 5 minutes. Each attempt gives me “success” and then cancels the order. Now it’s a nuclear bomb and I’m trapped. Thanks @SBF_FTX @FTX_Official pic.twitter.com/V16suUDZbj
— Ponzi Trader (@buyerofblood) June 14, 2022
Credit : cryptoslate.com