Crypto Market Plummets Due to ‘Aggressive’ Selling by Jump Trading, Report Claims
The cryptocurrency market has experienced a massive drawdown. A report from QCP Group, a prominent Singaporean digital asset trading firm, directly links the crash to aggressive selling by Jump Trading.
This sell-off has sent shockwaves through the crypto ecosystem, causing major digital assets like Bitcoin and Ethereum to suffer double-digit losses.
In support of the August 5 QCP report, blockchain analytical platform Spot On Chain also spotted Jump Trading moving 17,576 ETH, valued at $46.78 million, to various exchanges over the weekend.
The firm’s recent activities include converting 83,091 wstETH (worth $341 million) into 97,600 stETH and unstaking 86,059 stETH (valued at $274 million) from Lido Finance. These activities culminated in a net deposit of 72,213 ETH, equivalent to $231 million, into multiple exchanges.
Despite these massive transfers, Jump Trading still maintains substantial crypto holdings as Arkham Intelligence data shows the firm retains approximately 37,604 wstETH and 3,214 RETH, valued at around $110 million.
Additionally, another wallet associated with Jump Trading holds about $585 million in cryptocurrencies, primarily in stablecoins like USDC and USDT.
The impact of Jump Trading’s actions has been profound. Blockchain analyst Lookonchain reports that the market has slumped by over 33% since the firm began its selling spree on July 24.
Jump Trading is selling 120,695 $wstETH($481M) and has sold 83K $wstETH($377M) since July 24, leaving 37,604 $wstETH($104M).
The market also began to fall after July 24, falling by more than 33%!
According to reports on June 20, the US #CFTC is investigating Jump Trading.… pic.twitter.com/pOoGZknUDh
— Lookonchain (@lookonchain) August 5, 2024
This sell-off has drawn
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