The native token of the Celsius Network CEL/USD unexpectedly rallied 66% immediately after the Ethereum ETH/USD Merge, leaving many market participants confused.
What Happened: CEL surged from around $1.9 to a high of $3 within 60 minutes of the Ethereum Merge on Sept. 15.
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Some traders reported that CEL reached higher levels on certain crypto exchanges, with one account of the token hitting $6.08 on OKX and another saying that the token breached the $8 mark on Huobi.
— Hodl – #celshortsqueeze (@nishan666) September 15, 2022
While CEL’s price action is likely the result of a retail trader-orchestrated short squeeze that has been in the works for several weeks, the curious timing of the coin’s rally coinciding with the Ethereum Merge prompted comments from industry watchers — including Ethereum creator Vitalik Buterin.
I think it’s trying to figure out the new correct price level now that it’s converted to Fahrenheit
— vitalik.eth (@VitalikButerin) September 15, 2022
“I think it’s trying to figure out the new correct price level now that it’s converted to Fahrenheit,” Buterin joked on Twitter, referring to the token issuer’s recent fall from grace.
In July, the crypto lender Celsius Network filed for Chapter 11 bankruptcy after halting withdrawals. The crypto lender is said to owe its users around $4.7 billion.
Photo: Courtesy of John Phillips via Wikimedia