- CryptoQuant CEO Reveals Suspicious HTX Movements, Claims Justin Sun Is Behind Them
- HTX owner Sun breaks silence, denies $69K Bitcoin leverage play
- Bitcoin briefly plunged below $57,000 before bouncing back to $58,000 on Friday.
Tron founder and cryptocurrency entrepreneur Justin Sun has taken to X to refute rumors that he was long Bitcoin (BTC) at $69,000. Sun made waves yesterday when a crypto whale tracking agency found that he spent $5 million to take advantage of the Ethereum (ETH) crash.
CryptoQuant Suspects Fraud at HTX
Today, blockchain intelligence and statistics firm CryptoQuant has uncovered yet another seemingly big move by Sun. The original narrative, first published by CryptoQuant’s Ki Young Ju about X, concluded that HTX, a cryptocurrency exchange owned by Sun, had put a significant amount of its reserves into a leveraged BTC play.
In the original tweet, Kiyoung Joo explained that Sun was long Bitcoin as the leading digital asset approached the $69,000 barrier. Since this price range has not been seen since June 12, 2024, Sun’s long position is likely liquidated by now.
Sun Clears Air on $69K Bitcoin Play
According to CryptoQuant’s original calculations, the leveraged positions were backed by $420 million, despite HTX’s estimated Tether USD (USDT) reserves being $24 million. Ki Young Ju claimed that Sun used $460 million worth of stUSDT, a staking version of USDT operated on Sun’s HTX exchange, which had an APY of 46%.
After a day of silence, Sun appeared to refute the rumors. In an X message sent to the audience at 8:20 am on July 12, 2024, Sun said that he was “optimistic about the development of Bitcoin” and had “great confidence” in the future of BTC. Nevertheless, the TRON founder made it clear that he “did not take a long position on Bitcoin at the $69,000 level.”
On the other side
- Despite false claims of a $69,000 Bitcoin leveraged investment, such risky leveraged investments against loan collateral have shown a questionable trend this year.
- For example, Michael Egorov, co-founder of Curve Finance, triggered a series of liquidations that resulted in an immediate 34% drop in the price of CRV in June 2024.
Why this matters
Celebrities’ activities on blockchain are often tracked by intelligence agencies, providing insight into current market sentiment from the perspective of industry heavyweights.
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