I have read all over the place about this incident. Still I am not sure this is something that happened naturally, I mean... this is something that can happen in trading scenarios, or if this was all planned by some people trying to manipulate the market for their own benefit.
Anyone mind shedding some light on the topic?
Much appreciated! Thanks! :D
I'm starting to have little trust in shaking hands the more and more people get into this cryptocurrency space. seems anything that can be done, will be done. it's going to be volatile as hell!
From what I've gathered on this incident, there wasn't any wrong-doing/illegal activity that took place. Someone simply took advantage of the stop loss order function on GDAX by selling off a large number of Eth in order to drive the price down, which would then trigger the users who had set a stop loss order to sell their Eth at severely undervalued prices. Then whoever was responsible for the massive sale of Eth was apparently then ready to buy that Eth back at the discounted price to make a quick fortune.