Fans of the SafeMoon cryptocurrency are trying to "squeeze" or boost the cryptocurrency's value in a similar attempt that inflated the value of GameStop and AMC Entertainment stocks earlier this year.
The hashtag #safemoonsqueeze started trending on Twitter in the United States shortly after a forum post was published on the SatoshiStreeBets cryptocurrency sub-reddit titled, "The SafeMoon Squeeze has begun."
'The SafeMoon Squeeze Has Begun'
The post said that it was to be considered as the "official announcement" of the price squeeze and this was not a typical short squeeze but "simply a squeeze due to massive sustained upward pressure on the price due to community and campaign driven volume induced token burn." It also noted that it would be the "crypto version of GameStop and AMC but way bigger"
"We aim to take the power from the banks and transfer it to the people," the post added. "This is not a short term pump." The poster also took stock of upcoming releases of products such as the hard and soft wallets and future listings of SafeMoon on exchanges.
Twitter was instantly flooded with tweets from SafeMoon fans trying to bolster the value of the token. Here are some of the posts:
The AMC Entertainment, GameStop Short Squeeze
Earlier this year, a group of Reddit users on a sub-Reddit called 'WallStreetBets' discovered that hedge funds held short positions – a trade in which you expect the stock to fall and benefit from the transaction – in GameStop and AMC Entertainment.
However, concerned that the companies were about to meet their financial end, the Reddit group's 2-million strong army bet against the Wall Street hedge funds and other short sellers of GameStop, pumping up the price of the stocks in what is referred to as a "short squeeze" in the financial world.
What is SafeMoon's Value?
As of the time of publishing, the token's price was down 3.5% over the past 24 hours at $0.000003713, according to data obtained from CoinMarketCap. These These figures continue to change and it's unclear if they're linked to the "squeeze."
SafeMoon is one of many altcoins, a cryptocurrency token that is an alternative to Bitcoin, to gain popularity this year. It was launched in March and works by issuing a fee on each transaction, which is then partially distributed to the rest of the people who own the token.
The SafeMoon trend is not the first time cryptocurrency fans have tried to orchestrate a price rise movement. Fans of the Dogecoin cryptocurrency have also tried to boost the meme coin's value with hashtags such as #AcceptDoge and #Dogeday in the hopes that the crypto's value increases to $1.
Several cryptocurrencies are in the red this morning with Bitcoin trading at $32,900. Dogecoin is down over 9 percent to $0.25. Ethereum is down around 8 percent to just over $2,000 as a result of China's crackdown on cryptocurrency.