Price of Ethereum Dropped to $950 on Uniswap after the Flash Crash
Many cryptocurrency investors and industry experts are bracing themselves for a historic collapse back into triple digits as Ethereum’s price has dropped about 20% in the last day and is hanging around the $1,200 level this morning.
A whale poured over 65,000 Ether into the market, causing the price of ETH to spike above $950 late yesterday night on the DEX Uniswap, however the spike was only temporary.
On other exchanges, the price was roughly $1,300 at the time, but it was extensively noted on Crypto Twitter since it was so much lower. Uniswap, on the other hand, had only a temporary drop in value before quickly regaining ground lost to the rest of the market.
The aforementioned auction, which included both Uniswap and DEX SushiSwap, appears to have been the primary catalyst for ETH’s brief slide below $1,000.
Oasis app Oasis saw 65,104 ETH sold at an average price of $1,156 per ETH in the transaction. Over $75 million worth of ETH was sold at that price. Stablecoins tied to the dollar, such as DAI, USDC, and USDT, were exchanged for the ETH.
To cover a loan that was due to be repaid, an Ethereum project adviser and angel investor, Mariano Conti, tweeted that the investor was selling off a substantial amount of ETH to “pay off debt and decrease their risk” on the DeFi lending platform, MakerDAO.
However, it appears that the seller received a less than optimal price for moving such a significant sum of ETH in a single transaction. The oracle price for ETH at the time was more nearly $200 above the average sell price in the transaction, as seen by the Oasis vault data. Oasis also charged the seller over $152,000 in transaction fees.
Another $33 million worth of ETH was sold just a few hours later by the same Oasis vault owner who had previously sold 27,947 ETH at an average price of $1,181. Despite what the oracle predicted was its true market worth, which was $1,335, the vendor took a cheap price from the buyer.
Ether has lost about 20% in the previous day and 34% in the last week and is currently trading at $1,220, according to CoinMarketCap data as of this writing. From its peak of approximately $4,892 in November 2021, it is now fallen 75%.
Even if Bitcoin is down 17 percent today and 25 percent over the last week, the news is not quite as bad: it is still down considerably. Bitcoin’s current price of $23,366 is 66 percent lower than its all-time high price of $68,790 established in November of last year.