Ethereum Flash Crashed to $700 on Kraken Exchange

Crypto exchange Kraken experienced some extreme selling on Ethereum, causing the price to “flash crash” drop from $1700 to $700 for a few minutes.

Kraken CEO stated in an interview that they’re looking into what happened. Stating that “Ether Flash Crash Down to Trading, Not System Glitch” and suggested “someone might have decided to dump their life savings.”.

This highlights the importance of education for new traders, especially those that are new to margin trading. Jesse also stated that “there will be no refunds, we generally don’t do that. It’s the traders own fault if they make bad trades”. That being said, even after the recent dip in Ethereum, it’s still up around 26% in price for the month.

Around the same time, we also saw Binance temporarily suspending ETH withdrawals.