Maybe, but only in a limited pump and dump scenario.
Rookie 'investors' were promised a price magnitudes above what is currently trading (~0.00002
BTC on Bittrex) and that will sows the seeds of doubt.
It's like ponzis, if the poker type charade is played out amongst people in the know who are gambling and aware of the risks, there is limited damage.
With the massive MLM industry attached and recruiting everywhere, see OneCoin, ClubCoin, etc. then the numbers can be huge and the damage far more widespread to the crypto zone rep in general.