ETH Tanks 8% Overnight As FTX Hacker Sells Ethereum Holdings

The world’s second-biggest cryptocurrency is feeling the squeeze on Sunday night. As of press time, Ethereum (ETH) is trading at a price $1,120 down 8.09% and a market cap of $137 billion.

On Sunday, November 20, reports emerged that the FTX hacker who took $600 million from the exchange is changing over his ETH stash to Bitcoin. Last week, the hacker changed over all the stablecoins to Ethereum gathering $288 million worth of ETH. Citing data from Etherscan, crypto columnist Colin Wu detailed:

The FTX hacker address (0x59… d32b) is changing over a lot of ETH into BTC. Today, about 30,000 ETH has been exchanged into RenBTC, and 1070 BTC has been moved to the BTC network.

Administrators are as yet assessing the destruction caused by FTX’s bankruptcy. The crypto firm owes a faltering $3.1 billion to a portion of the top creditors. Besides, there are gwowing worries that more digital outfits could topple in the midst of the new crisis.

Last week, reports emerged that crypto lender BlockFi is planning for a likely bankruptcy. Addressing Bloomberg television, Christian Catalini founder of the MIT Cryptoeconomics Lab, said:

The FTX issues are really an earnest sign of the requirement for administrative clarity and a real administrative structure for crypto. The publicity and hypothesis over the printing and trading of tokens “has generated an enormous distraction from building genuine products and services that arrive at purchasers, solve real issues.

Ethereum Underperforms Bitcoin

The present ETH price correction is also the consequence of a broader market correction. The broader cryptocurrency market is down by 5.6% sneaking by $800 billion as of press time. While ETH is down 8%, Bitcoin has additionally corrected more than 4% sneaking by $16,000.

Over the recent weeks, Ethereum has been severely underperforming Bitcoin. Several analysts accept that the new market offer off could pull the ETH price to under $1,000.