I just read what happened, large sell order dropped the price and then margin calls cascaded it way down this could easily have been manipulated bay a whale or two sell $ 300 ish but back in @ $13 on exchanges that have margin trading i saw a screen show of someone buying 3800 ETH @ $0.1 before the price rebounded to $300 -- made over a million off $350
This very same thing happened on coinbase about a month ago with litecoin. Someone sold a few million and crashed the price down to zero. Some lucky fool got 22,000 ltc for 10 cents a pop but everyone with margin positions opened got destroyed. There was a few cases where people had small 22 lite coin margins open with like 500 lite coin in their wallet as collateral. Since it literally went to nothing it used all their collateral.
I'm not sure in this case, but this kind of thing can be deliberate. It has a few different terms :- * Stop Loss Raid * Stop Loss Sweep * Run The Stops I think the practise is quite common in mature markets. In immature and volatile markets like crypto it is particularly risky to use stop loss orders, let alone leave assets on an exchange with those orders. Here's a good article discussion an alternative approach to using stops :- http://www.marketwatch.com/story/why-i-stopped-using-stop-loss-orders-2013-05-09
https://news.bitcoin.com/gdax-annou...bsorb-investor-losses-recent-eth-flash-crash/ Sounds costly, but also seems appropriate if it isn't going to break the bank.
My guess is it will cost them less in the long run then having to deal with all the lawyers. Plus I'm sure their banker friends will be happy to give them some money. (after they made a lot from buying at 10c ) I would really love to know the person who had a heap of buy orders at 10c. Im sure those people had some inside trading info. That's why Coinbase said those people are allowed to keep those orders.
Just a great buying opportunity really, take that chart back six months further and see how it looks compared to a term deposit with any of the local big four banks over the same timeframe. Some great trading opportunity's with it bouncing around so much.
Not very sophisticated really, I just look for a drop over 5-6% or more in ETH compared to BTC or vic-versa , recently LTC as well and then swap whatever is trading at near static to the $AU for it, then wait till you get a day like today and it heads back up again to 5-6% plus or more and sell or swap back for an overall 10% gain. Also trade on Poloniex as well, the 15 Min charts there are handy for seeing the trends over the last 24 hr's, buy near the recent 24hr low and set a sell near the 24 hr high and go to bed. EG: The difference between High and low on Poloniex for ETH BTC pair over the last 24 Hrs is about .011 BTC or $32 ish AU difference, X that by ten and you have a nice little profit. Lite coin is up just under 15% on there at the moment compared to BTC just in the last 24 hrs.
yep Ethereum is tanking the most because all the ICO's built on ETH are turning out to be rubbish or scams. This is what happens when people buy things just because it going up and not bother to really understand what they are investing it.
Tanking the most? The most out of what? All the ICO's are rubbish or scams? Sweeping, baseless statements don't do much to contribute to the dialogue. You don't think the BTC fork has anything to do with the sell off?
