ETH Flash Crash Sends Price Below $950 On Uniswap: Analysis

An ETH flash crash sends prices below $950 on Uniswap and lost 20% of its value in the past day as well so let’s read more today in our latest Ethereum news.

The price of ETH dropped below $950 on Uniswap overnight and right now, ETH is down by 20% over the past day to a spot price of $1220 on most exchanges. With the ETH price being down 20% over the past day and moving between the $1200 mark this morning, most investors and the industry watchers are bracing for a new drop into the triple digits. However, this already happened on Uniswap after an ETH flash crash which saw the price hit $950.

$ETH went to $945 on uniswap pic.twitter.com/XybAcnkMCH

— Ash WSB (@ashwsbreal) June 13, 2022

it was spotted on crypto Twitter that the price was lower than the spot rate on other exchanges where the price moved between the $1300 range but it proved to be a brief flash crash for Uniswap as the price rebounded with the rest of the market. The $1000 drop for ETH was triggered by the sale which spanned both Uniswap and DEX Sushiswap. The transaction saw 65,104 ETH sold from the vault on Oasis with an average sell price of $1156 per ETH which is over $75 million sold at that price. The ETH was sold for stacks of dollar-pegged stablecoin like USDC, DAI, and USDT.

The angel investor and ETH project advisor Mariano Conti noted that the investors were selling off larger chunks of ETH to pay off debt and to decrease their risk on DEFI lending MakerDAO to cover a loan that was about to be liquidated. By moving a large amount of ETH in a single transaction, the seller got a low price and as the data on the Oasis vault shows, the oracle price of ETH was more than $200 higher than the average sell price in the transaction. The seller also paid $152,000 in fees for the transaction.

A @MakerDAO Vault just sold 65k ETH to pay off debt and decrease their risk… seems this netted 150k in fees to @oasisdotapp 🤑

average price… 1155 USD per ETH 🥲https://t.co/tceIla0xuF pic.twitter.com/9hIaamVWI2

— mariano.eth ✨ᕙ༼ຈل͜ຈ༽ᕗ✨ | 🦇🔊 (@nanexcool) June 13, 2022

A few hours later, the same Oasis vault owner sold 27,947 ETH at an average price of $1181 each, or $33 million worth of ETH at that price. The seller took a low price compared to what the oracle said the market value was at that time which was $1335. At a current price of $1220, ETH shed nearly 20% of the price in the past day and 34% in the past week. Now, it is down 75% from its ATH of $4892 in 2021. The top cryptocurrency BTC is down as well but the news is not as bad. It is down by 17% today and 25% in the past week to a current price of $23,366.