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Mass Flagging of Squid Game Twitter Accounts Triggers Tokens’ Prices Crashes

Recent weeks have seen the Squid Game token price maintain an upward trajectory despite multiple scam warnings to top around $2,800 before crashing below $0.01.

 

Squid Game Token Plummets

The Squid Game (SQUID) token experienced a mind-blowing price surge within a few weeks but it plummeted by over 99% after Twitter flagged its ‘official’ accounts as suspicious.

CoinMarketCap (CMC) data revealed that the first downward move for the SQUID token was witnessed on Monday. This single move erased the project’s entire gains from as high as $2,861 to less than $1 in a matter of minutes. As a matter of fact, the SQUID token fell to unprecedented levels since at the time of writing, it was trading at $0.0054 – a 99% drop in the past 24 hours with a trading volume of $13 million.

CMC is adamant that the project has a “self-reported” market capitalization of $2.8 million. The website’s warning reads that “The CMC team has not verified the project’s market cap.” Analyzing the project further, one realizes that their token’s fully diluted market cap is $5 million, a 99% drop.

SQUID all-time price chart. Obtained from: CoinMarketCap

 

Twitter Flags Squid Game Accounts

This drop coincided with Twitter’s move to flag multiple accounts associated with the SQUID token. These accounts were deemed as suspicious by the social media platform, including the project’s original account that had more than 70,000 followers. After restricting this account, the project’s token developers tried to create other accounts and keep pushing the project’s online presence, but these too were closed.

This Twitter flagging of the SQUID token accounts does not come as a surprise to crypto enthusiasts who had pointed to it being a scam from the very beginning due to its blocked comments on Twitter and fake founders. On Friday, Bobby Ong, the co-founder of CoinGecko claimed that the token is ‘most likely a scam’ insisting that his firm did not list it because it did not meet their listing criteria. At that time, SQUID was trading around $5.

 

Despite these warnings from crypto pros, the token maintained its upward momentum and experienced astronomical gains. On Monday alone, it reached $90 and in several minutes it had topped the $2,000 mark.

 

Heed the Warnings

Global publications like the CNBC among others emphasized that the Squid Game project had implemented ‘anti-dumping technology’ which acted as a restriction to holders that wanted to sell the token. These major publications did not call it an outright scam but such actions hint to that.

It is advisable to heed the warnings of those that have been on the crypto scene for some time now, they have seen many come and go.

Image courtesy of pixabay

Edward Nored

Edward Nored

Edward is a naturally curious BTC lover with a deep interest in blockchain, fin tech, fields which he dedicates his time to researching.

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