Ethereum Flash Crash
Ethereum sought to remind many of the volatility of cryptocurrencies when a multi-million dollar dump saw the price of Bitcoin’s biggest rival crash from over $300 to less than $1 in a matter of seconds.
“Our initial investigations show no indication of wrongdoing or account takeovers. We understand this event can be frustrating for our customers. Our matching engine operated as intended throughout this event and trading with advanced features like margin always carries inherent risk,” said Adam White, vice-president of GDAX, in a blog post.
“We are continuing to conduct a thorough investigation and will keep customers updated with any resulting actions.”
Of course, there are two sides to this coin as well. For all of those who lost money with their stop orders, there are also cases of buyers scoring big.
A screenshot was posted on a trading forum that showed how a user, who had placed a buy order for Ethereum at 10 cents, picked up 3,800 coins for a paltry price of $380. So, when the price dropped for a mere second, the buy order was engaged, and when the market recovered also within seconds – back to over $300 per coin – a new crypto millionaire was born.
