Bitcoin
$ 53,162
Ethereum
$ 2,361.4
XRP
$ 0.8302

An unconfirmed tweet hits the crypto market and puts it down by more than $ 290 billion

Source:

Another wild weekend in the cryptocurrency market, where Bitcoin fell by about $ 7,000 in hours, amid rumors that the US Treasury will impose fees on several financial institutions for money laundering in cryptocurrencies.

The news has not been officially confirmed, but is still a pure rumor published in the form of a tweet by the account shown below.

This tweet erased $ 288 billion from the cryptocurrency market within 54 minutes after making the rounds on social media.

At the time of writing this post, this tweet has garnered more than 5,700 likes despite posting the news from unconfirmed anonymous sources and disabling comments.

Mr. Jake Chervinsky, General Counsel at Compound Finance, wrote that he does not find the tweet credible because money laundering cases fall within the jurisdiction of the US Department of Justice.

He also adds that it would be unusual to charge multiple financial institutions simultaneously, as he stated:

I do not find this tweet reliable.

The tweet itself is suspicious: the Treasury Department does not charge fees for money laundering but rather the Department of Justice who can.

And the case against several financial institutions simultaneously would be extraordinary.

Criminal investigations are also kept strictly confidential and rarely leaked.

I am not convinced of unnamed sources.

Not only that, it should be noted that the “FXHedge” account has a history of making false claims in the past, which means that its content should be treated with greater caution.

Crypto Market Fragility:

The fact that a suspicious tweet could wipe out hundreds of billions exposed the fragility of the cryptocurrency market, which remains extremely sensitive to such rumors.

This method can be used as a weapon in order to move the market with misinformation, and this is not the first time that such hideous methods are used, as in early March, the fake “ZeroHedge” account published a false fake tweet about Apple’s entry into Bitcoin.

Related Posts