CoinDesk Analysis Team
CoinDesk
-
ETH's price drops to lowest since January.
-
A wallet supposedly associated with Jump Trading moved 17,576 ETH to centralized exchanges, according to Spot On Chain.
Ether's (ETH) price cratered as a prominent crypto trading firm moved large amounts of ETH to centralized exchanges in preparation for potential liquidation.
Ethereum's native token, the second-largest cryptocurrency by market value, has dropped 20% in 24 hours, hitting a seven-month low of under $2,100 during Monday's Asian hours, according to CoinDesk data.
In the past 24 hours, a wallet identified as Chicago-based trading heavyweight Jump Trading by onchain sleuth Spot On Chain transferred 17,576 ETH worth over $46 million to centralized exchanges. In June, reports emerged that Jump Trading was being probed by the CFTC.
The wallet has moved nearly 90,000 ETH to exchanges since July 25 and still holds 37,600 wstETH and 11,500 stETH at press time. wstETH is the DeFi-compatible version of Lido's staked ether (stETH).
"The reason for the crazy crypto sell-off seems to be Jump Trading, who are either getting margin called in the traditional markets and need liquidity over the weekend, or they are exiting the crypto business due to regulatory reasons (Terra Luna related)," Dr. Julian Hosp, CEO and co-founder of decentralized platform Cake Group said on X.
The supposed liquidation over Sunday and early Monday has drawn the crypto community's ire. The said time frame is generally characterized by weak liquidity or the ability of the market to absorb large orders at stable prices.
All writers’ opinions are their own and do not constitute financial advice in any way whatsoever. Nothing published by CoinDesk constitutes an investment recommendation, nor should any data or Content published by CoinDesk be relied upon for any investment activities. CoinDesk strongly recommends that you perform your own independent research and/or speak with a qualified investment professional before making any financial decisions.
Recommended Content
Editors’ Picks
Crypto Today: Bitcoin slips under $50,000, double-digit decline in top 30 cryptocurrencies
Bitcoin and altcoins in the top 30 have suffered double-digit corrections in the past 24 hours. XRP suffers a nearly 15% drawdown on Monday, slips to support at $0.4459. Ethereum slips to $2,241, a new 2024 low for the second-largest cryptocurrency.
Bitcoin bleeds under $50,000 amidst global stock market sell-off, what to expect from the BTC cycle
Bitcoin slipped below the $50,000 support early on Monday as stock markets around the world tumbled and bonds rallied amidst recession fears. The crypto market noted $1.06 billion in liquidations in the past 24 hours, per Coinglass data.
Bitcoin struggles below $50,000 amid rising Israel-Iran tensions and declining US economic activity
Bitcoin's (BTC) price shows weakness on Monday, trading 12% lower at $50,898 at the time of writing, amid a slowdown in US employment as shown in the Nonfarm Payrolls (NFP) report for July published on Friday and rising Israel-Iran tensions.
Top trending meme coins PEPE, BOME, TRUMP experience a double-digit crash
Pepe (PEPE), Book of Meme (BOME), and Trump (MAGA) are testing crucial support levels following a double-digit crash on Monday, with the technical outlook suggesting potential corrections for all three.
Bitcoin: Can BTC rebound from the recent market challenge?
Bitcoin’s (BTC) price failed to close above $70,000 at the beginning of the week and dropped to $64,000 by Friday. Mt. Gox continues moving Bitcoin to exchanges for repayments to creditors while the Federal Open Market Committee (FOMC) decided to hold US interest rates steady.