WAVES Price Drops to Almost Zero Sats on Binance for One Minute

If you are a WAVES trader and you have heart problems, we hope you weren’t tracking the behavior of this coin in Binance during the last few hours because it’s very likely that you suffered a…

The post WAVES Price Drops to Almost Zero Sats on Binance for One Minute appeared first on Ethereum World News.

If you
are a WAVES trader and you have heart problems, we hope you weren’t tracking
the behavior of this coin in Binance during the last few hours because it’s
very likely that you suffered a stroke from anguish (or joy).

In an
unexpected turn of events, on April 17, 2019 at 8:52 am, Waves went from
costing 5070 Satoshis to having a price of only 1 Satoshi per token. This represents a 99.9% drop in
price.

Later in the same minute, the price recovered back to 5078 Satoshis per token, representing over 5000% increase in profits. This could either be the biggest nightmare or a dream come true for many traders.

Waves at 1min Candles. Graph Tradingview

As shown in the graph, the abnormal volume indicates that possibly a Waves Whale placed an exaggerated sell order (possibly market selling). This unusual move practically drained the order book of the token.

It is
difficult to give a 100% accurate explanation of what happened since the trader
has not yet been identified, however, unless the hodler REALLY REALLY hated the
token, everything points to an input error.

This kind of behavior is not uncommon in the crypto-verse. Recently, Ethereum World News reported that a user sent a few dollars paying hundreds of thousands in fees, perhaps confusing the fields they had to fill. This conduct aroused suspicion as they repeated it several times.

Similarly,
in late 2018, a comparable case occurred in GDax (now Coinbase Pro). At that
time, an exaggerated order plummeted the price of Ether (ETH) by approximately
90%, going in a matter of seconds from more than $100 to $13 per token.

This
phenomenon known as flashcrash occurs when an asset collapses virtually
immediately. It is evident that it is an abnormal (although valid) behavior
because the shadow it leaves on the charts is very large, and the trading
volume generally exceeds the average by much.

When this
happens, the market itself tends to re-balance prices, mostly because of those
who arbitrate. So far the Waves team has issued no comments, and no known
trader has claimed to be responsible for such a huge sell order.

The post WAVES Price Drops to Almost Zero Sats on Binance for One Minute appeared first on Ethereum World News.