Ethereum Whale Loses $100 Million as Market Crash Triggers Massive Liquidation
An Ethereum whale has taken a massive financial hit, losing over $100 million after the cryptocurrency’s price plunged by 14% on April 6.
The investor’s collateralized debt position on Sky, a DeFi lending platform, was liquidated when ETH fell to around $1,547. The liquidation involved 67,570 ETH, valued at approximately $106 million.
Sky, previously known as Maker, operates as a DeFi protocol where users can lock up crypto as collateral to borrow DAI.
The platform requires a minimum overcollateralization ratio of 150%, and if the value of the collateral falls below this threshold, liquidation occurs. In this case, the ratio dropped to 144%, triggering the sale of the collateral.
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Another large ETH holder, who had supplied 56,995 wrapped ETH worth about $91 million, is also at risk of liquidation. The recent crash has sparked broader market concerns, with Ether now down 68% from its all-time high in 2021.
CoinGlass data shows nearly 320,000 traders were liquidated in the past 24 hours, losing almost $1 billion. Most of these liquidations involved Ether, highlighting the impact of the sudden market drop driven by recent U.S. tariff news.
Alexander Stefanov
Reporter at CoinsPress
Alex is an experienced finance journalist and a cryptocurrency and blockchain enthusiast. With over five years of experience covering the industry, he deeply understands the complex and constantly evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His passionate approach allows him to break down complex ideas into accessible and insightful content. Follow up on his content to be up to date with the most important trends and topics - stay ahead of the curve with CoinsPress.
