Worse almost happened? The market rally is doing well

There was about 2 minutes for lending platform LiquityProtocol to liquidate Sun Yuchen’s 606,000 Ether, but then Sun Yuchen repaid $300 million making the liquidation not happen.

The date “519” has been engraved in the history of the cryptocurrency market, and the number will be repeatedly mentioned when the market crashes again afterwards. According to Philippe Castonguay’s tweet, the lending platform LiquityProtocol had about 2 minutes to liquidate Sun Yuchen’s 606,000 Ether, but then Sun Yuchen paid back $300 million so the liquidation didn’t happen. Godfish commented that “if eth falls by more than 100 again, I guess I’ll see you within 1000 knives tonight.

Worse almost happened? The market rally is doing well

Sun Yuchen then released his own microblogging said: the funds are safe, but there was indeed a moment when the bullets from my scalp a brush, so I cold sweat straight, did not expect the pin to come so fierce, thanks to God fish and other reminders to tighten the operation (fill positions). The last wave of last night’s decline, BTC has actually maintained horizontal mode, but ETH has become the “last jump” of the killer, the 600,000 ETH if liquidated, $1000 ETH is really not exaggerated.

But in fact, the 600,000 ETH is not so good liquidation, defi’s liquidation order will also reduce the transaction coin price, but the process relies on the liquidator arbitrage to complete, there is a certain delay time, and is indirect role, 600,000 ETH to slowly liquidate a long time, and yesterday the low price of ETH only maintained a few minutes, so it will not be so pessimistic, but did not happen is good, after all, if the At that time the news really came out, we could not judge the news well at the moment, it would only cause panic, and after a new round of death spiral occurred, it was not just the 600,000 ETH. Of course, there are also jokes in the market that even if the market plunges again, we should let “Sun Cut” experience the taste of bankruptcy, which is an afterthought.

In addition, today Musk came out to speak again. Tesla CEO Musk tweeted: “Tesla has double diamond hands”. It is said that “diamond hands” means “someone who holds a certain asset firmly”.

Worse almost happened? The market rally is doing well

Current market speculation is that Tesla is not buying bitcoin at a low price again. Of course, the current cryptocurrency market does not have a good impression of Musk, and the source of this plunge is one of the pushers, if not Musk, who caused it, and it is expected that Musk’s supporters in the cryptocurrency world will become more and more limited next. Today’s market sentiment has recovered, even faster than expected, as a result of the rapid development of the cryptocurrency market in the last two years. As we said before, even if the cryptocurrency market encounters another unpredictable event, it will not be as exaggerated as in 2017, and the current bitcoin’s resilience and recovery ability cannot be compared to the same day.

Back to the market, bitcoin has rebounded quickly today, and if you count from yesterday’s low of $30,000, it’s now back above $40,000, which equates to a 33% rebound already. It’s still not very interesting to talk about the technicals, which are of limited significance, as the current plunge is a rapid recovery process, and the next decisive factor that will have an impact on the market must be factors outside of the market. The current market does not say how stable, if only one day after the plunge will return to the upward trend, the probability is not without (such as the previous “312”), but not every time will be so. And now there is a bigger headache in the making, namely the downturn in U.S. stocks and the world’s stock markets, and the expected risk of inflation seems to be growing, depending on how investors in the U.S. react these days.

Overall, you can take the strategy of spot low plunge, which is also a relatively low-risk long-term strategy, but if you do short-term quotes, or even with contracts, then whether long or short, the risk is very high.

ETH: If we take yesterday’s low of $1736, the current ETH rally on $2700 is already close to 60%. This wave of ETH misery is only a little worse than BTC, of course, from the burst volume, but this does not affect the return of the value of ETH in the future, if ETH falls back again, you can still consider intervening, or spot. Other coins, most of the current coins or follow the trend of the general market, if you are worried that the market will fall back again risk tolerance is a little bit worse, then you can continue to wait for the market to stabilize, if the risk tolerance is higher partners, when the fall back can be considered to intervene in the spot, must look for the mainstream coins, the first very powerful animal coins or low-priced coins, the price may never come back. It is recommended that you consider ETH, LTC, ETC, the three major platform coins, and several DeFi leading coins of the ETH chain (Uni, sushi, aave, etc.).

Posted by:CoinYuppie,Reprinted with attribution to:https://coinyuppie.com/worse-almost-happened-the-market-rally-is-doing-well/
Coinyuppie is an open information publishing platform, all information provided is not related to the views and positions of coinyuppie, and does not constitute any investment and financial advice. Users are expected to carefully screen and prevent risks.

Like (0)
Donate Buy me a coffee Buy me a coffee
Previous 2021-05-20 12:35
Next 2021-05-20 12:41

Related articles