The PlusToken Perpetrators move $24 million in EOS coins into an unknown address and the on-chain data reveals that the altcoin could go into a huge sell-off as it begins changing hands as we are reading further in the EOS news today.
The historical data suggests when individuals such as the PlusToken perpetrators moving coins means they will sell them and it could boost the selling pressure behind EOS which could crash it below $2. The PlusToken Ponzi scheme looks like it is prepared to dump $67 million on the market which could cause the price to crash. CoinHolmes, the Chinese-based blockchain analytics provider identified the movement of more than 23.6 million EOS related to the PlusToken scam and the funds are now worth $67 million which are set in an unknown wallet with only 350 EOS remaining in the original address. The anti-money laundering analytics provider believes that based on historical data, the perpetrators of the PlusToken scam will be preparing to sell the huge number of stolen tokens:
“Further analysis revealed that the [new] address belongs to the cold wallet “coldlaregist” address, which means that the PlusToken group may be prepared to further sell the funds.”
A further increase in the selling pressure behind EOS could have huge implications of the price and smart contract tokens is one of the top cryptocurrencies by market cap which had a hard time recovering from the March crash. As a result, losing the current support level could pose a huge threat to the cryptocurrency. Looking at it from a technical perspective, the EOS price action has been contained within a parallel channel for the past two months. Every time that EOS surges to an upper boundary of the channel, it pulls back to hit a lower boundary which bounces back from this point forward. The price action is consistent with the characteristics of a parallel channel.
— Clank – Biggest Blockchains Transactions 🐳 (@ClankApp) June 22, 2020
If a sell-off happens, the altcoin could have the ability to break below the $2.4 support level which managed to stay steady since the technical pattern started forming. By drawing a parallel line close to the distance of the height of the channel, it is safe to assume that this cryptocurrency drop towards $2 or lower. PlusToken had a huge impact on prices because of the enormous holdings. One could argue that it will lead the prices to go higher before it starts dumping on unaware investors so moving past the middle line of the parallel channel will help EOS to increase higher than $2.8.
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