At 10:30 am London on September 5, someone started selling a huge amount of Ethereum (ETH) on Bitfinex. This brought the course of Ethereum on a descent. At the time of writing, a coin was valued at just $ 225.
About 60,000 Ethereum changed hands on Bitfinex between 10:30 am and 11:00 pm. As a result, the price plummeted from $ 280 to $ 265 per coin. In the time of 11:00 clock and 11:30 clock (London time) followed by another 70,000 coins. The price then fell to 260 USD. Subsequently, another 60,000 Ethereum were repelled, which further drove the price down.
What exactly happened is still unclear. The day before yesterday it had come to a flash crash of Ethereum, which resulted in a fall to 240 USD. However, it seemed that the Flash Crash was limited to Kraken's crypto exchange.
This was preceded by a transfer of about half a million Ethereum by Digix Global. Digix was able to do the transfer after the token holders approved the request to liquidate 70,000 Ethereum. Another 54,000 Ethereum Digix Global yesterday transferred to the crypto market Gemini. The stock exchange offers over the counter (OTC) block trading. A look at the charts reveals that Gemini moved about two minutes earlier than other crypto exchanges, albeit at a low level.
Who sells Ethereum to a high degree?
Further, the charts show that the price initially ran flat and dropped slightly at 10:45 London time. On Bitfinex the course was flat until 10:47 and then moved a bit. This was followed by successive sales. Of course, traders always keep an eye on the charts of all major stock exchanges. So if something moves, they can act immediately and follow first.In addition, Gemini's volumes were rather low, at about 500 eters per minute. The peak was reached at 1,000 sales per minute. This translates into a sale of about 5,000 Ethereum in about nine minutes.
On Bitfinex, many Ethereum coins changed ownership in quick succession. The volume increased to about 5,000 to 10,000 coins per minute. It is therefore unclear how much should be sold and how much is attributable to traders.
Other cryptocurrencies, however, were barely affected by the sales. Bitcoin dropped 8 percent to $ 6,411 per coin at the time of writing. It can therefore be assumed that this was an event that essentially concerned only Ethereum.
What an event this was is still unclear. It could have been Digix, even if there is no evidence for that. But it could also have been another initial coin offering (ICO) the trigger. Or even the Ethereum equivalent of the notorious Bitcoin Bear whale.
Sources: Coinalyze, Reddit 1, Reddit 2, Pixabay
Author: Peter Joost – Source Post: https://www.kryptovergleich.org/ethereum-shock-kurs-geht-auf-talfahrt-blitzverkauf-von-200-000-coins/
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