Celsius (CEL) is currently experiencing a mid-crisis rebound. After filing for bankruptcy protection in the face of various investigations, the value of the token transcended the pressure and rose more than 25% on Saturday.
Despite the current efforts of its management, the Celsius Network token is showing signs of revival, according to some observers. In the past 24 hours, the price of a CEL has increased by around 80%.
CEL up 30% – Bull run in sight?
CEL was trading at $0.73 at the time of writing, a 30% increase from its July 15 closing price.
In the face of skepticism and a growing number of pullback stops, the price of CEL rose from $0.64 to $1.53 on June 19-20.
Celsius filed for Chapter 11 bankruptcy on Wednesday evening in U.S. Bankruptcy Court for the Southern District of New York. Last month, the company halted withdrawals, trades and transfers on its platform, claiming “extreme market volatility”.
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The global cryptocurrency market capitalization traded at $928 billion, up more than 3% in the previous 24 hours. Total cryptocurrency trading volume grew nearly 3% to $77 billion.
Celsius Network’s suspension of withdrawals last month sent the cryptocurrency market into a dark abyss as its bankruptcy filing exposed $1.2 billion in flawed deals.
This includes the liquidation of $840 million in Tether debt, $750 million in mining hardware, and the loss of 38,000 ETH due to staking.
Additionally, it has $411 million in outstanding loans to retail customers, secured by digital assets valued at $765 million.
BTC total market cap at $397 billion on the weekend chart | Source: TradingView.com
CEL sees steady ascent
The price rise for CEL appears to be fairly typical, with the token having seen steady rises and falls over the past 30 days. On June 21, CEL peaked at $1.53 per token before rapidly reversing.
Meanwhile, since Celsius began repaying its financial obligations last week, CEL’s on-chain analysis has shown a steady accumulation, according to data from Santiment. Outside of established exchanges, the quantity of CEL tokens has increased by 0.5% over the past three days.
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Likewise, the volume of Celsius has increased recently. CEL volume was 18 million in the early morning hours of July 15. At press time, the same volume stood at 66 million. The change in volume is indicative of the fluctuation in investor sentiment.
The price of Celsius’s CEL cryptocurrency is rising due to the offloading of CEL tokens by short sellers on exchanges. Coinglass reported that exchanges including Okex, FTX, and Huobi are experiencing short positions of over 80%.
Featured image from HowStuffWorks, chart from TradingView.com