With the recent “CEL short squeeze,” it seems that Voyager is seeing an effort to inflate its price. The native token for this embattled crypto brokerage has skyrocketed massively in the past few days.
VGX Token Rises
The VGX token rode its wave of success to a 178% jump yesterday and hit an intraday high of $0.891 before falling back to around $0.559. It’s currently trading at around $0.717 but it could be even higher by the time you read this article.
It seems that the price rise of VGX has been accompanied by a Twitter hashtag called #PumpVGXJuly18 and the creation of a telegram group. The new telegram group, “Voyager Community Recovery Channel”, has over 2,100 members presently.
Speculators seem to be jumping aboard the latest quick buck bandwagon as prices for this token have gained more than 400% since the week’s beginning.
The VGX pump this week is a clear indication that the crypto token has reversed its steady downtrend which cost it 80%.
VGX is currently down by 94.3% compared to its ATH of $12.47 in January 2018.
The 3AC Saga
In a surprising turn of events last week, the company announced its restructuring plan which included issuing tokens to customers who had suffered losses following suspension earlier in July. The company filed for bankruptcy on the same day, citing liquidity issues arising from Three Arrows Capital’s (3AC) outstanding debts.
On Tuesday, U.S Court froze the remaining assets of 3AC in New York City. The restructuring plan includes a recovery of assets from 3AC, which could also partly explain the increase in perceived value for VGX tokens.
MetaFormLabs, a crypto venture firm that started the VHX pump scheme through Twitter announced they will be rescuing it (VGX) through this process. The firm details its token price target, and the amounts pledged for a rescue package in an effort to shore up confidence as the token price continues to rise:
“We have set a new target range of 5USD-8USD. Currently, we have 50,000,000USD internally and 67,000,000USD pledged by well-known crypto enthusiasts.”
The company announced on Thursday that it had $135 million to fund the rescue package on July 18, just before its token pump peak plans.
1 thing is clear.
Don’t say we didn’t give you any pre warnings of our intentions.#PumpVGXJuly18
July 18 2022 @ 2PM PST
We will stop sharing exact amounts we have pledged.
Current total ready for July 18: 135,000,00USD+
Whoever shorts will probably get swallowed whole.
— MetaFormLabs | #PumpVGXJuly18 (@MetaFormLabs) July 13, 2022
MetaFormLabs says they’re not responsible for the price jump that started on Wednesday.
“Where there’s green there’s vultures that prey for low entries. #PumpVGXJuly18 will go ahead as planned on July 18 @ 2pm PST. Today’s movement wasn’t us, we’ve not even begun yet.”
While the pump scheme has been met with healthy doses of skepticism from crypto Twitter, it’s still early days for this idea.
Regarding #VGX and the “Pump $VGX” going around…
Know what you are getting into. A lot of supply is locked up on Voyager which can skew pricing. $VGX optimism can potentially help Voyager make customers whole, but know the risk you are taking.
— shingolavine.eth (@shingolavine) July 13, 2022
The official Twitter feed for the Voyager spacecraft was silent on any plans to utilize a bailout plan.
However, the VGX price is already dropping and it had lost 21% so far. A similar situation occurred with the newly launched Terra (LUNA) tokens. The token pumped to over $10 but dropped drastically to $2.00 a week later.