Crypto Fund That Is Shorting LINK Since $5-Returned

The crypto fund that is shorting LINK since it was $5, has returned so let’s read more in today’s chainlink coin news to find out more about it.

A few months ago, a Twitter account called “Zeus Capital” made headlines along with its web page. Zeus Capital claimed to be a crypto hedge fund that had plenty of knowledge about Chainlink that could send the price crashing to $0.07. At the time the fund started accusing LINK of fraud and LINK started trading for $4-5. Zeus Capital expected a 99 percent drop and wrote a report:

 “Based on our findings we have opened a short position in LINK and recommend you doing the same with a target price of USD 0.07 and potential upside of nearly 100%.”

However, the strategy of the so-called hedge fund didn’t work. Due to a broader rally in the altcoin market which took a focus on decentralized finance and collective effort from the LINK holders to liquidate Zeus Capital, LINK shot higher. When LINK started picking up steam, someone that already built up an on-chain short position via Aave that was worth $16 million, was liquidated. Some believe that it was in fact the crypto fund Zeus Capital but there’s no evidence that this is the case.

In mid-August, at the peak of the campaign against the Ethereum-based cryptocurrency, LINK traded at $20 which is 300 percent higher from where it was when the fund launched. Even after the rally, Zeus Capital didn’t stop. The company that has partners and investors who are not known, was spotted publishing and promoting tweets that were similar to the ones published in the summer.  According to “Bully”, Zeus Capital is far from liquidated. He noticed a “promoted” tweet from the official Twitter account which lambasted the Chainlink team for selling one million LINK per week. In this same tweet, the company called LINK an “abyss” of money.

Lmao THEY’RE BACK! GIGALONG IT IS. pic.twitter.com/l1X9stdoTC

— ฿ully (@BullyEsq) November 12, 2020

The tweet was “promoted” which means that the company paid the social media to distribute the tweet to the ones that don’t follow the account. Zeus Capital’s Twitter published plenty of tweets including one mentioning the $100,000 reward program for the Provision of Information of Chainlink’s Manipulative and Illicit practices. This was similar to the reports that suggested the company will pay up to five BTC to analysts for predicting that the coin could drop lower.

The crypto fund was also pushing for reports that stated LINK will go up to $0.07. The report alleged that Chainlink is vaporware and a project that will only enrich its founders. There’s a theory now that Zeus Capital is an entity launched by LINK to drag down the community together against the common enemy.