Litecoin (LTC) swiftly spiked – and then dumped earlier today following a false rumor about a partnership with retail giant Walmart.
At roughly 9:30 Eastern Standard Time (EST), multiple publications such as Reuters, CNBC, and Yahoo reported that Walmart had entered into partnership with Litecoin that involved accepting LTC as a form of payment.
As news broke via a fake press release Litecoin exploded from $178 to above $235 for a nearly 30% rally, according to CoinGecko. Similarly, Bitcoin also jumped from about $44,600 to nearly $47,000 before promptly giving up the gains.
Shortly after the initial story circulated, a Walmart spokesman informed both Reuters and CNBC that no such partnership existed. The Litecoin Foundation also reiterated that no agreement had been forged.
As the rumor began to dissolve, so did the price of LTC. At time of writing, Litecoin is down 3.8% on the day rather than being significantly up as it had been just hours prior.
Some traders, including closely followed Cantering Clark, took advantage of the sudden volatility.
The pseudonymous trader tells his 68,000 followers how he played the news.
“I went from longing and closing out making bank, to shorting 221 and making bank.
MEME MARKET WINS!”
Just paid kids future college educations, thank you WALMART!!! pic.twitter.com/cz80SBH7FP
— Ryan ? Cantering Clark (@CanteringClark) September 13, 2021
The fake press release never appeared on Walmart’s official website and has since been deleted from GlobeNewswire.
Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any loses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.
Featured Image: Shutterstock/Nejron Photo