On Thursday, the price of leading cryptocurrency BTC fell off a cliff, falling from the day high of $7,700 to as low as $4,400 in dramatic fashion. Surprisingly enough, this wasn’t the asset’s worst day in history.
Related Reading: Analyst Who Predicted Bitcoin’s $3,000 Bottom & More Thinks This Is Next
Ethereum, on the other hand, saw its worse day ever, crushed as the market recentralizes around BTC.
Ethereum Falls Off a Cliff
According to data from Nic Carter, a Bitcoin/industry startup investor and the co-founder of CoinMetrics, yesterday was Ethereum’s worst day in history; while BTC closed down 40%, the second-largest cryptocurrency lost 43% on the day, clearly marking its worst performance ever.
The last time it dropped even remotely close to this hard was amid 2017’s tumultuous uptrend, which was marked by large bouts of volatility due to global news and technical developments regarding cryptocurrencies.
Not to be outdone, it’s Ethereum’s worst ever day as a financial asset, by a significant margin (-43% with the runner up being -27%). pic.twitter.com/OS2Urcq2Jc
— nic carter (@nic__carter) March 13, 2020
Ethereum’s dramatic crash has had some serious effects on users of the ecosystem, not just investors.
As a result of Thursday’s volatility, the decentralized finance ecosystem, namely MakerDAO, has been subject to a number of issues. Namely, due to the collateral system that exists with MakerDAO loans, dozens of millions worth of loans have been liquidated, resulting in a dramatic shift in how the DeFi ecosystem operates.
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Source: https://www.newsbtc.com/2020/03/13/ethereum-fell-43-percent-yesterday-worst-day-ever/