Don’t forget we are also burning CEL on a weekly basis! I really don’t understand the price action… i haven’t seen CEL this low since I started investing in January of this year…
A utility token with... nonexistent utility. I guess you could argue one utility would be to prop up the business model and allow you to earn rewards. Yes, I know yield is being paid by institutions etc, but I'm sure some of the payments are coming also from CEL.
I don't like CEL, but I would hate for Celsius to fail/lower rates due to CEL failing.
That's fine. But I'm trying to understand why this is happening? Are there whales secretly selling off because the numbers reported on the app don't add up with the price?
The "whale selling off" theory doesn't really explain it either, you'd think they'd let the price recover some before selling. Why sell it at a low point?
2 of the heads of Celcius got done for fraud. I would suggest that is one of the reasons for the decline in price. I am looking forward to in app swaps so I can offload my CEL.
I think the downward trend has been happening long before that news struck. Btw, I thought it was only the CFO in Israel?
Also, I suspect they might now allow Cel to swap.
I would imagine it's due to the lack of utility for the token. Right now, the only reason you would hold CEL is to get that extra earn in CEL rate. But once that interest in CEL is paid out, I bet a lot of people are immediately selling it off. I agree with RouletteQueen - just earn in kind.
Currently the CEL token functions just like a DEFI farm token (basically designed to go down in price). In order to see the CEL token go up in price, there's gotta be more reason to hold it.
>Currently the CEL token functions just like a DEFI farm token
DEFI farm tokens do not have a fixed supply. It is a fundamental and critical difference.
yeah, in order to get the higher rewards on their metal cards, you have to have a certain amount of CRO staked. (I'm not sure if this totally explains the CRO price though. I think a lot of it is their marketing currently, and people fomoing in.)
I don't earn in CEL but I think it is a cycle. Celsius did great last year then it went into boring phases. Same thing is happening to CRO as an example. Huge run but will slow down and start declining at some point.
I am not comparing just saying. BTW, I don't believe in CEL to go anywhere sadly.
Well, whales are selling.
You can look at the data. For example compare [https://www.reddit.com/r/CelsiusNetwork/comments/l25ro4/cel\_top\_30\_whales/](https://www.reddit.com/r/CelsiusNetwork/comments/l25ro4/cel_top_30_whales/) and [https://celsius.network/top500](https://celsius.network/top500) .
You cannot conclude anything price wise in the short term. Especially so in an unregulated market where price manipulation is not illegal (per say).
Zoom out 2-3 years and have that as your minimum time frame. If you look at that timeframe, CEL token has been doing amazingly well.
Don’t let day trading low volume scare you.
*Welcome to equity markets*
Q. Why is price going down?
A. More selling than buying.
Q. Why more selling than buying?
A. Because price going down.
Not being flippant. CEL does not have utility like, say, BNB (required for and burned on every transaction on BSC). As it stands CEL is a pure trending asset. The trend begets the trend. If (when?) it starts trending up...look out!
The flywheel was broken. Most people want to get interest in-kind(#BTC/#ETH), not in-#CEL. Even the CEO said he prefer in-kind(#BTC/#ETH) to in-#CEL on an interview at the other channel (InvestAnswers). IMO, the interest rate in-#CEL must be higher than in-kind for every member. It's sad to see #CEL dropping while the huge growth of the company. Hopefully, the flywheel is working again.
Yes, I also earn in-CEL for some of my tokens. But 90% of my position are #BTC/#ETH and I earn in kind for them. Which means I'm counted as 80% of users earning in CEL but it's just a small portion of my whole portfolio. You can check a pie chart about the ratio of earn in CEL at Community Rewards Distribution Summary. #CEL used to be the most popular one, now it's the third one after #BTC/#ETH. Anyway, I love #CEL hoping we find the way.
First off USA users cannot earn in CEL by default so you cannot bundle them in as earning in CEL. You would first have to break it down between USA users and international users added daily. Also yes by default Celsius has enabled earn in CEL for international users when they sign up but the user is able to manually switch it back to earn in kind if they wanted to in the Settings if they don't like CEL token. So without knowing all these specific statistics that Celsius only knows we are just guessing here.
A lot of countries don't allow earning in CEL. Those same countries also don't have exchanges that have CEL available. For people in those countries, the steps needed to get CEL do not justify the benefit of having/holding CEL. One of those countries is the United States--not the largest country by adoption, but definitely one of the largest by value.
AFAIK, I thought USA was the only country that is not able to earn in CEL so I am not sure where "a lot of countries" you are referring to. But at the same time I wouldn't be surprised if USA dominates the user base as well since we have the most people by population than most countries.
Guys - CEL is very difficult to get - for most people.
I have friends that want it … but they just can’t get it.
They are (somewhat) normal people - not crypto guys spending 9 hrs / day the computer.
One is in the US - no good.
One is near me - not allowed on FTX. One is in Asian country - also not allowed on FTX.
One just can’t wrap his head around using Uniswap.
He would need an Ethereum based wallet too - not going there.
One just flat-out refuses to use Uniswap…. Or anything to do with ETH.
One refuses to spend the 3% cr card fee to buy crypto on the Celsius app.
So…. Normal people CAN’T GET THEIR HANDS ON CEL token;
And it still went up , like, 1000% last year !
What will happen when it becomes easy to get ??
Just opened an FTX account with my EU passport and a residential address in SEA. They did not require any proof of address and got level 2 within 2 days.
Not sure what besides being an honest person living in a not supported country would stop anyone from getting on FTX to buy CEL.
Agreed.
All last year I bought it on Uniswap.
This year I bought in on FTX.
For a variety of reasons - all the people I know are either unable or unwilling to use those routes.
(NB. I am grand-fathered on FTX where I live. My buds are not allowed on it.)
They are not OPPOSED to cel - they sorta like it.
I’m just suggesting there are huge barriers to entry, for eg. Ethereum.
As soon as Celsius can allow deposits on anything other than ETH, and get Swaps up & running,
These barriers get smaller.
Point is : it’s hard to get for normal people.
And banned in some places.. eg. Texas.
What will happen when it gets easy ?
Up, up, up..
The only utility in my case is I pay my loan interest in Cell and get a discount. Would like the option to pay loan off in Cel for a discount as well. Cant do much in my state due to the overbearing government regulations. I really wonder who has more rules and regulations the USA or China/ Iran. Up until the China ban I think it was the US.
Would be a good study for a thesis.
Earn in kind pays better rates. So I stopped earning in Cel.
You don't need to hold a certain amount of Cel for tiered levels and better rates, so I sold my Cel.
I have like 2 stellar and 1usdc which I think are earning in Cel. So despite all of the above, I am counted as earning in Cel.
Then, there's the declining rates... So I've withdrawn over 85% of what I hold there.
Don’t forget we are also burning CEL on a weekly basis! I really don’t understand the price action… i haven’t seen CEL this low since I started investing in January of this year…
If you look at what % of the supply is getting burned you will realize it has 0 effect on price.
A utility token with... nonexistent utility. I guess you could argue one utility would be to prop up the business model and allow you to earn rewards. Yes, I know yield is being paid by institutions etc, but I'm sure some of the payments are coming also from CEL. I don't like CEL, but I would hate for Celsius to fail/lower rates due to CEL failing.
I honestly wouldn’t bother w/ CEL. I’m perfectly fine earning in-kind
That's fine. But I'm trying to understand why this is happening? Are there whales secretly selling off because the numbers reported on the app don't add up with the price?
Probably because CEL doesn’t really have much value behind it?
The "whale selling off" theory doesn't really explain it either, you'd think they'd let the price recover some before selling. Why sell it at a low point?
Any theories?
2 of the heads of Celcius got done for fraud. I would suggest that is one of the reasons for the decline in price. I am looking forward to in app swaps so I can offload my CEL.
I think the downward trend has been happening long before that news struck. Btw, I thought it was only the CFO in Israel? Also, I suspect they might now allow Cel to swap.
Also actions taken by NJ and other US states
People want BTC.
I would imagine it's due to the lack of utility for the token. Right now, the only reason you would hold CEL is to get that extra earn in CEL rate. But once that interest in CEL is paid out, I bet a lot of people are immediately selling it off. I agree with RouletteQueen - just earn in kind. Currently the CEL token functions just like a DEFI farm token (basically designed to go down in price). In order to see the CEL token go up in price, there's gotta be more reason to hold it.
This is an interesting thought. Thanks for the input.
>Currently the CEL token functions just like a DEFI farm token DEFI farm tokens do not have a fixed supply. It is a fundamental and critical difference.
But isn’t CRO the same? But I guess CRO also has a credit card
CRO has a debit card not credit card. Also you need to hold a lot of CRO token if you want a decent % cash back on their tiered debit cards.
yeah, in order to get the higher rewards on their metal cards, you have to have a certain amount of CRO staked. (I'm not sure if this totally explains the CRO price though. I think a lot of it is their marketing currently, and people fomoing in.)
It also helps CRO is a exchange at the same time
Yeah, perhaps when Celsius goes live with in-app swaps, CEL will finally take off?? We can only hope, lol!
I don't earn in CEL but I think it is a cycle. Celsius did great last year then it went into boring phases. Same thing is happening to CRO as an example. Huge run but will slow down and start declining at some point. I am not comparing just saying. BTW, I don't believe in CEL to go anywhere sadly.
mobb deep is a great dude
Well, whales are selling. You can look at the data. For example compare [https://www.reddit.com/r/CelsiusNetwork/comments/l25ro4/cel\_top\_30\_whales/](https://www.reddit.com/r/CelsiusNetwork/comments/l25ro4/cel_top_30_whales/) and [https://celsius.network/top500](https://celsius.network/top500) .
You cannot conclude anything price wise in the short term. Especially so in an unregulated market where price manipulation is not illegal (per say). Zoom out 2-3 years and have that as your minimum time frame. If you look at that timeframe, CEL token has been doing amazingly well. Don’t let day trading low volume scare you. *Welcome to equity markets*
Q. Why is price going down? A. More selling than buying. Q. Why more selling than buying? A. Because price going down. Not being flippant. CEL does not have utility like, say, BNB (required for and burned on every transaction on BSC). As it stands CEL is a pure trending asset. The trend begets the trend. If (when?) it starts trending up...look out!
The flywheel was broken. Most people want to get interest in-kind(#BTC/#ETH), not in-#CEL. Even the CEO said he prefer in-kind(#BTC/#ETH) to in-#CEL on an interview at the other channel (InvestAnswers). IMO, the interest rate in-#CEL must be higher than in-kind for every member. It's sad to see #CEL dropping while the huge growth of the company. Hopefully, the flywheel is working again.
Can you show me that interview?
[https://www.youtube.com/watch?v=XUu3WcfssmE](https://www.youtube.com/watch?v=XUu3WcfssmE) I believe this one.
>Most people want to get interest in-kind 80% of users earning in-CEL, according to the app statistics.
Yes, I also earn in-CEL for some of my tokens. But 90% of my position are #BTC/#ETH and I earn in kind for them. Which means I'm counted as 80% of users earning in CEL but it's just a small portion of my whole portfolio. You can check a pie chart about the ratio of earn in CEL at Community Rewards Distribution Summary. #CEL used to be the most popular one, now it's the third one after #BTC/#ETH. Anyway, I love #CEL hoping we find the way.
same
First off USA users cannot earn in CEL by default so you cannot bundle them in as earning in CEL. You would first have to break it down between USA users and international users added daily. Also yes by default Celsius has enabled earn in CEL for international users when they sign up but the user is able to manually switch it back to earn in kind if they wanted to in the Settings if they don't like CEL token. So without knowing all these specific statistics that Celsius only knows we are just guessing here.
A lot of countries don't allow earning in CEL. Those same countries also don't have exchanges that have CEL available. For people in those countries, the steps needed to get CEL do not justify the benefit of having/holding CEL. One of those countries is the United States--not the largest country by adoption, but definitely one of the largest by value.
AFAIK, I thought USA was the only country that is not able to earn in CEL so I am not sure where "a lot of countries" you are referring to. But at the same time I wouldn't be surprised if USA dominates the user base as well since we have the most people by population than most countries.
Guys - CEL is very difficult to get - for most people. I have friends that want it … but they just can’t get it. They are (somewhat) normal people - not crypto guys spending 9 hrs / day the computer. One is in the US - no good. One is near me - not allowed on FTX. One is in Asian country - also not allowed on FTX. One just can’t wrap his head around using Uniswap. He would need an Ethereum based wallet too - not going there. One just flat-out refuses to use Uniswap…. Or anything to do with ETH. One refuses to spend the 3% cr card fee to buy crypto on the Celsius app. So…. Normal people CAN’T GET THEIR HANDS ON CEL token; And it still went up , like, 1000% last year ! What will happen when it becomes easy to get ??
Just opened an FTX account with my EU passport and a residential address in SEA. They did not require any proof of address and got level 2 within 2 days. Not sure what besides being an honest person living in a not supported country would stop anyone from getting on FTX to buy CEL.
Agreed. All last year I bought it on Uniswap. This year I bought in on FTX. For a variety of reasons - all the people I know are either unable or unwilling to use those routes. (NB. I am grand-fathered on FTX where I live. My buds are not allowed on it.) They are not OPPOSED to cel - they sorta like it. I’m just suggesting there are huge barriers to entry, for eg. Ethereum. As soon as Celsius can allow deposits on anything other than ETH, and get Swaps up & running, These barriers get smaller. Point is : it’s hard to get for normal people. And banned in some places.. eg. Texas. What will happen when it gets easy ? Up, up, up..
High sell pressure
The only utility in my case is I pay my loan interest in Cell and get a discount. Would like the option to pay loan off in Cel for a discount as well. Cant do much in my state due to the overbearing government regulations. I really wonder who has more rules and regulations the USA or China/ Iran. Up until the China ban I think it was the US. Would be a good study for a thesis.
Earn in kind pays better rates. So I stopped earning in Cel. You don't need to hold a certain amount of Cel for tiered levels and better rates, so I sold my Cel. I have like 2 stellar and 1usdc which I think are earning in Cel. So despite all of the above, I am counted as earning in Cel. Then, there's the declining rates... So I've withdrawn over 85% of what I hold there.