- CryptoQuant CEO discloses suspicious HTX move, alleging Justin Sun is behind it.
- HTX owner Sun breaks silence, refuting the professed $69K Bitcoin leveraged play.
- Bitcoin briefly tumbled below $57K before rebounding to $58K on Friday.
Tron founder and cryptocurrency entrepreneur Justin Sun has taken to X to debunk swirling rumors about his alleged Bitcoin (BTC) long position at $69,000. Sun made waves yesterday when crypto whale tracking agencies spotted him spending $5 million to take advantage of Ethereum’s (ETH) dip.
CryptoQuant Suspects Foul Play on HTX
Today, the blockchain intelligence and statistics enterprise CryptoQuant spotted yet another apparently heavy move by Sun. Initially announced on X by CryptoQuant’s Ki Young Ju, the original narrative concluded that HTX, a crypto exchange owned by Sun, put a substantial amount of its reserves on a leveraged BTC play.
In the original tweet, Ki Young Ju explained that Sun had made a long trade on Bitcoin as the leading digital asset approached the $69,000 barrier. As this price range has not been seen since June 12, 2024, Sun’s alleged long position would have likely been liquidated by now.
Sun Clears the Air on $69K Bitcoin Play
According to CryptoQuant’s original calculations, the leveraged position was backed by $420 million, even though HTX’s estimated Tether USD (USDT) reserve is at $24M. Ki Young Ju alleged that Sun had used $460 million worth of stUSDT, a staked version of USDT operating on Sun’s HTX exchange with a generous APY of 46%.
After a day of silence, Sun turned up to debunk the rumors swirling around. In an X message to his audience on July 12, 2024, at 8:20 AM, Sun stated he’s “optimistic about the development of Bitcoin” and has “great confidence” in BTC’s future. Nevertheless, TRON’s founder went on to clarify that he “did not go long on Bitcoin at the $69,000 price level.”
On the Flipside
- Despite the false claims of a $69K leveraged Bitcoin play, such risky leveraged plays on borrowed collateral have struck a questionable trend this year.
- To illustrate, Curve Finance’s co-founding member, Michael Egorov, has set off a wave of liquidations, triggering an instantaneous 34% CRV price drop in June 2024.
Why This Matters
Celebrity actions on the blockchain are often traced by intelligence companies, painting a picture of current market sentiment from an industry heavyweight’s perspective.
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