Recent movements of Ether related to the major PlusToken scheme have raised market concerns. These actions may signify a large-scale sell-off of $1.3 billion in cryptocurrency.

Movement of Seized Ether

According to researcher ErgoBTC, about 7,000 ETH from wallets linked to PlusToken were moved last week. These wallets have been inactive since 2021. The transfer to exchanges may indicate an intent to sell the remaining tokens, valued at $1.3 billion.

Historical Context

PlusToken operated between 2018 and 2019, becoming one of the largest crypto scams. It defrauded approximately 2.6 million users, resulting in nearly $4 billion worth of cryptocurrencies being seized by Chinese authorities. Previously, a significant amount of Bitcoin from the scheme was sold, causing market volatility.

Market Implications

Recent ETH movements have already impacted the market, with Ether's price dropping below the $2,400 mark. If the remaining 542,000 ETH are sold, it could lead to a further price drop below $2,000.

The movement of Ether from PlusToken accounts adds uncertainty to the crypto market, potentially significantly affecting Ether's value if large sales continue.