Arthur Hayes , the founder of B itMEX exchange, suddenly posted on the social platform :
My friends in the traditional financial world told me that a certain big name has collapsed and is selling all its cryptocurrencies.
I don't know if this is true and I won't reveal the names, but if you hear the same, please tell your family and friends.
Social media reports that Arthur Hayes calls Jump Crypto a big player
Regarding the news about Arthur Hayes, community members are currently generally speculating that this big name should be Jump Crypto, the cryptocurrency department of Wall Street trading giant Jump Trading and a well-known market maker in the crypto.
As for the reason, one is because on-chain data analyst Yu Jin tweeted yesterday (4th) that Jump Trading was recently redeeming a wstETH worth US$410 million into ETH in batches, and then transferred it to Binance With exchanges like OKX suggesting they may be selling off large amounts of Ethereum:
So far, in the 9 days since July 25, they have unpacked and redeemed 83,000 wstETH into 97,500 ETH, of which 66,000 ETH have entered the exchange.
On the other hand, as early as June 20, foreign media "Fortune" reported, citing people familiar with the matter, that the U.S. Commodity Futures Trading Commission (CFTC) was investigating Jump Crypto's cryptocurrency business, including its trading and investment activities. The community also speculates whether Jump Trading is currently facing severe regulatory compliance issues.
However, neither Jump Trading nor Jump Crypto has made any explanation about this so far, and the specific reasons remain to be seen.
Ethereum plunges 22%
Perhaps affected by this, Ethereum staged a bloody massacre this morning, reaching as low as $2,084 earlier (the lowest point this year was 1/3 of $2,051). The largest single-day drop exceeded 22%, giving up almost all of this year’s price. increase.
At the time of writing, although Ethereum has rebounded to $2,291 and fluctuated, the moving zone still reminds investors that they should remain cautious about potential changes in the market at this time.
In addition, according to Arkham data monitoring, after a large number of wallets marked as Jump Trading transferred out of Ethereum in the past few hours, the current ETH holdings have dropped to 3,532 pieces, and the WETH holdings have also dropped to 675 pieces. Its maximum holding has become US dollars. Stablecoins USDC and USDT.
Many ETH whale were liquidated
As Ethereum fell sharply this morning, according to on-chain data analyst Ember’s monitoring, multiple leveraged Ethereum whale were liquidated:
Following this morning's sharp drop, some on-chain leveraged ETH whales were liquidated.
The liquidation also contributed to the decline of Ethereum, causing the price of ETH to fall by more than 20%.
