Celsius Asks for More Time, CEL Coin Pumps Over $1 - Short Squeeze

Celsius Network seems to be doing its best to regain the trust of its users. Over a week ago, the decentralized finance (DeFi) platform announced that it would halt withdrawals, swaps, and transfers, creating panic across the market. The CEL token suffered a massive dip after this announcement.

At the time of writing, CEL was up by 135%. The gains could be attributed to the recovery plan that the Celsius Network is working on and the massive pumping of the token by the community squeezing short-sellers.

Celsius asks for more time

The Network announced it was halting services because of “extreme market conditions.” The current turmoil across the market has affected several other firms operating in the crypto space, including Babel Finance.

Celsius issued an announcement on Monday saying,

We want our community to know that our objective continues to be stabilizing our liquidity and operations. This process will take time.

The network also announced that it was working with the relevant regulatory bodies and officials regarding the halted services. Celsius has also suspended its Twitter spaces and Ask Me Anything (AMA) sessions to “focus on navigating these unprecedented challenges and seeking to fulfil our responsibilities to our community.”

Your capital is at risk.

Celsius community-led short squeeze

While the Celsius team has not given any solid plan on how it plans to reinstate the halted services, the community has taken matters into its own hands, and it has initiated several actions. The first is a GameStop-like short squeeze.

On June 14, CEL gained by nearly 500% within 30 minutes. The spike has continued over the past few days, and it is attributed to a short squeeze on those shorting the CEL token because of the uncertainty of the firm’s future. The Celsius community urges other members to buy CEL and trigger a massive price gain.

Below is CEL’s bull run over the past few days since the community started pumping the token.

Celsius community-led short squeeze

The hashtag #CELShortSqueeze has been trending on Twitter over the past few days. The hashtag motivates the community to buy CEL tokens and withdraw tokens from exchanges. This will force short sellers of the token to cover their short positions.

This strategy became popular on Reddit early last year when the subreddit r/Wallstreetbets found out that major Wall Street banks had shorted GameStop and AMC stocks. The group members pumped the token to around 25 times its valuation at the start of the month. This action squeezed out the Wall Street short-sellers.

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