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  • Ethereum crashed from $319 to 10 cents in seconds on one exchange after ‘multimillion dollar’ trade

    From cnbc.com

    The price of ethereum crashed as low as 10 cents from around $319 in about a second on the GDAX cryptocurrency exchange on Wednesday, which is being blamed on a "multimillion dollar market sell" order. Ethereum is an alternative digital currency to bitcoin and had been trading as high as $352 on Wednesday. Adam White, the vice president of GDAX which is run by U.S. firm Coinbase, posted on the exchange's blog, outlining what took place at around 12:30 p.m. PT on Wednesday. According to White, the multimillion dollar market sell order resulted in a number of orders being filled from $317.81 to $224.48. As the price ... (full story)

Anyone know: how is leverage involved with these? Like US forex brokers are 50:1, what are these? They mentioned margin and I realized that I do not know.

I thought that they were no margin... because yeah, something that moves so much AND has people involved with margin would definitely cause a cascade like this.
Quoting skillz16
Anyone know: how is leverage involved with these? Like US forex brokers are 50:1, what are these? They mentioned margin and I realized that I do not know. I thought that they were no margin... because yeah, something that moves so much AND has people involved with margin would definitely cause a cascade like this.
they are trading crypto. not owning crypto. same way you are trading spot with no expected delivery. thats what a cfd is. whenever a cfd is involved. margin is applied even with 1:1 leverage
Either the original large sell order was from an idiot not knowing how large orders of a security are done, or that person did it with intent to buy as the SL orders hit. Of course with the reputation of this one trashed why would anyone move back into it?
Quoting skillz16
Anyone know: how is leverage involved with these? Like US forex brokers are 50:1, what are these? They mentioned margin and I realized that I do not know. I thought that they were no margin... because yeah, something that moves so much AND has people involved with margin would definitely cause a cascade like this.
The most leverage i have ever seen any crypto currency exchange offer is 10 to 1.
Quoting skillz16
Anyone know: how is leverage involved with these? Like US forex brokers are 50:1, what are these? They mentioned margin and I realized that I do not know. I thought that they were no margin... because yeah, something that moves so much AND has people involved with margin would definitely cause a cascade like this.
1:20 many.

If they lose their shirt - their problem.
Beware of robber banks (RB), bad advisors.
Der Trader All Time Pips: 52,970
Quoting gat
Either the original large sell order was from an idiot not knowing how large orders of a security are done, or that person did it with intent to buy as the SL orders hit.
Of course with the reputation of this one trashed why would anyone move back into it?
You're deservedly on ignore. Keep up.

Whoever sold it - his problem.

On my exchange no such fun.
But I'm putting orders way below.... I mean 20, 40% below...just in case idiots come

I hope reputation is trashed so I can buy cheaper.... What do you mean Going Back???
smart people know and it's all going up.

Gat, sell me your stash of 3600000 ETH???
Beware of robber banks (RB), bad advisors.
Der Trader All Time Pips: 52,970
LOL--- it's not accidental that the ECB Economic disaster run from the top by Germany with Draghi as their parrot is involved. German banks are in trouble and have been for quite some time. This is a MASSIVE amount of manipulation that caused this move. From 300+ dollars to 10 cents is ABSURD. This was a deal done from a dealer to a central bank as no one else has the capital necessary to cause that big of a move and thats a certainty. The only thing that can cause this is a massive, massive sell order with very little liquidity on the buy side which is the cause of volatility. Volatilty and liquidity are inversely coorelated so the less liquidity means MORE volatiity and the reverse. I'm also assuming these markets aren't regulated, so it gives them much more room to get creative. Heh
Quoting disker23
LOL--- it's not accidental that the ECB Economic disaster run from the top by Germany with Draghi as their parrot is involved. German banks are in trouble and have been for quite some time. This is a MASSIVE amount of manipulation that caused this move. .
Whats this to do with ECB/German Banks/Draghi?
I thought GDAX was a US regulated digital asset exchange located in the US.
Whats the European connection?

You getting confused with German SE the DAX?
Quoting Not-KPMG
{quote} You're deservedly on ignore. Keep up. Whoever sold it - his problem. On my exchange no such fun. But I'm putting orders way below.... I mean 20, 40% below...just in case idiots come I hope reputation is trashed so I can buy cheaper.... What do you mean Going Back??? smart people know and it's all going up. Gat, sell me your stash of 3600000 ETH???
It's funny how you keep replying while saying I'm on ignore. I hear there are Pog hoarders still hoping for a comeback.
GDAX has to answer the following points:

1. Put an complete order history online to see how orders where filled between 330USD and 10cents and back up above 300.
2. Explain if it is true that there was a big order bild up around 13 USD before the flash crash, when the price was over 300 USD as mentioned by some customers....
3. Show the spread through the flash crash.
4. Have the stops been triggered by spread widening or by real customer orders.
4. Did GDAX take their customers offline during the crash? Why?
5. Do they collaborate with a hidden market maker / dark pool that has all information in regards to the margin levels of GDAX customers, so that these guys can calculate on a realtime basis what is needed to initiate a flash crash?
6. Why wasn't there a mechanism built into the plattform that delays trades if price drops fast or if the difference to other exchanges are getting to big?
7. Has there been significant algo action around the flash crash?
8. Do they allow HFT algos on there plattform?
9. Didn't they have order limits that are consider the current liquidity of the plattform?

Once more it looks like price manipulation at is best. A plattform that failed miserably in my view. A CEO that immediately tells that all trades will stay as they are and no mistakes on their side. An finally a regulator that is asleep.....and a lot of tears on the retailer side....as always.

Sorry for those who lost money, hope you can get some of it back. Fight for it.

I bet regulators will now step in soon and get cryptos regulated ....

Wait on the day when mainstream finds out that although the amount of coins in each currency is limited, you can put out as much parallel cryptos as you want and the intrensic value of all these currencies is in the end limited to the functionality they provide based on the related costs to run them....which should be not so far above Zero.
If I can remember a crowd called the "Syrian Hackers/Army" did the same to the NY Exchange a few years back.
The market crashed because some person placed large selling orders but they had preordered stocks at a low price.
They made a shit for their terrorist organization. This smells exactly the situation. and it cant be traced. Bitcoin next?
Anytime the future sp500 will blood very hard be prepared because 2421 has to hit there before climbing higher
Another twist to this is that back in Feb 1017 JPMorgan,Intel Microsoft and others formed a block chain alliance with Ethereum (Swiss run) and not Bitcoin. East against West because Bitcoin is mainly backed by the asians . China,Korea japan , (North Korea? )
Quoting Sniper2000
Another twist to this is that back in Feb 1017 JPMorgan,Intel Microsoft and others formed a block chain alliance with Ethereum (Swiss run) and not Bitcoin. East against West because Bitcoin is mainly backed by the asians . China,Korea japan , (North Korea? )
I haven't read that much.
Respect!!

What about Ripple.?? Their price is so wobbly now....
Beware of robber banks (RB), bad advisors.
Der Trader All Time Pips: 52,970
Sp500 futures of value 2438 are 17 falling points


https://www.youtube.com/watch?v=A3Rd9OVc1Yk
Quoting Not-KPMG
{quote} I haven't read that much. Respect!! What about Ripple.?? Their price is so wobbly now....
A wobbly is a lot different from a crash like this. This was planned by an organization out to profit from the demise.
Wont be the last either.
GDAX CEO says there will be "no refunds" for this event. Lol. This shit reeks of a scam at this point.
Quoting HudithePfupf
GDAX has to answer the following points: 1. Put an complete order history online to see how orders where filled between 330USD and 10cents and back up above 300. 2. Explain if it is true that there was a big order bild up around 13 USD before the flash crash, when the price was over 300 USD as mentioned by some customers.... 3. Show the spread through the flash crash. 4. Have the stops been triggered by spread widening or by real customer orders. 4. Did GDAX take their customers offline during the crash? Why? 5. Do they collaborate with a hidden...
Exactly. Number of crypto coins is much more unlimited than the physical one. They all use the same technology.
Quoting ivofx
{quote} Exactly.
Number of crypto coins is much more unlimited than the physical one. They all use the same technology.
And HudiPufi above::
you can put out as much parallel cryptos as you want and the intrensic value of all these currencies is in the end limited to the functionality they provide based on the related costs to run them....which should be not so far above Zero.

Yeah.
So????
What ya saying??
Are u saying all coins go to zero? I'll buy your bitcoins for 1.50 and Dash for $0.50.
I'm generous
Beware of robber banks (RB), bad advisors.
Der Trader All Time Pips: 52,970
We're about to fall on sp500

More point of ascent less point it will fall
Quoting Not-KPMG
{quote} And HudiPufi above:: you can put out as much parallel cryptos as you want and the intrensic value of all these currencies is in the end limited to the functionality they provide based on the related costs to run them....which should be not so far above Zero. Yeah. So???? What ya saying?? Are u saying all coins go to zero? I'll buy your bitcoins for 1.50 and Dash for $0.50. I'm generous
What are you going to do when the bubble bursts, and BTC crashes?
Anyone want to buy a tulip bulb? You can get in on the ground floor.
Quoting wildbill2u
Anyone want to buy a tulip bulb? You can get in on the ground floor.
LOL! I get it.
Gone to a better place
Sp500 futures

I identified this image as a shoulder-head shoulder.

Now when the system is manipulated this is not shoulder shoulder head but for me it is very good draft fall is zone 2420 points and back to rise.

http://prntscr.com/fndti2
Quoting FXMasterZero
{quote} What are you going to do when the bubble bursts, and BTC crashes?
Hmm.
If it crashes - highly unlikely - I'll have lost my investment.
Call it few thousand.
Say two thousand beers in the pub 🍻

If it keeps going I'll be half a millionaire in few years...... Hmmm...... What to do......
Tough question
And all trading forex i have like 1-2000 profit a year. Maybe

But why should it crash (BTW I diversified in XMR, DASH, LTC, ETC, XRP, CLOAK, POT, GBYTE, AEON, GB, MOON, REDD, STRAT...).???
I guess couple could crash, leaving me 500 poorer.....

Just like gold - crashing from $40 to 1255 now.... And that's before internet, crypto, FED paper money....

So ideas??
Beware of robber banks (RB), bad advisors.
Der Trader All Time Pips: 52,970
Quoting wildbill2u
Anyone want to buy a tulip bulb? You can get in on the ground floor.
I think you should stick to things you understand, however few, and leave grown-ups to talk business

Quoting wildbill2u
{quote} Oooooh..... out of your arse. When we walked to work it was uphill both ways and when we got home they whipped us with the cat-o-nine tails until our backs were bloody--and then beat us senseless with a crowbar to stop the whining.
Good times eh???

Hold on - UPHILL BOTH WAYS???
Beware of robber banks (RB), bad advisors.
Der Trader All Time Pips: 52,970
Hello ethereum was good for the punters who started at 10 cents.My young son wanted to buy $1000 worth a while back.For once we held off on this one,I only just finished ranting on about it will crash,or be cleaned out by a massive sell off.So what we did while we waited,I said lets go find a couple off cheaper cars an clean them up sell them.Yes we sold them in two days an made $1000 profit.Problem is with the net when things go wrong is you can not get hold off anybody,like were has money gone ass wipe,give it back.
Quoting Not-KPMG
{quote} Hmm. If it crashes - highly unlikely - I'll have lost my investment. Call it few thousand. Say two thousand beers in the pub 🍻 If it keeps going I'll be half a millionaire in few years...... Hmmm...... What to do...... Tough question And all trading forex i have like 1-2000 profit a year. Maybe But why should it crash (BTW I diversified in XMR, DASH, LTC, ETC, XRP, CLOAK, POT, GBYTE, AEON, GB, MOON, REDD, STRAT...).??? I guess couple could crash, leaving me 500 poorer..... Just like gold - crashing...
You've got your risk profile regarding this investment all figured out. I don't think you need any more ideas
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  • Posted: Jun 22, 2017 6:24am
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     Newsstand
    Category: Entertainment News
    Comments: 28  /  Views: 12,144