Last month, Ripple’s (XRP) victory in its legal battle with the US Securities and Exchange Commission (SEC) marked the biggest celebration in the crypto space. Subsequently, several major crypto exchanges decided to list XRP again, including American Gemini. However, in the hours after the exchange relisted XRP, something strange happened. The XRP price fluctuated above USD 1 several times and even shot to USD 50 at times. What’s up?
XRP price at $50!?
Posted by several customers of the exchange screenshots On the internet you can clearly see that the price climbed to $50 and then immediately fell back. Other users shared screenshots showing XRP price over 1 dollar. However, the true value of XRP on other exchanges has never risen above 65 cents throughout this time.
big exchange @Twins had an error.
— JackTheRippler ©️ (@RippleXrpie) August 10, 2023
The reason for the absurd price increase may have been a lack of liquidity at Gemini. Since the token was just listed, there were only a few orders. A keen Gemini user once noticed this almost no orders were in the queue.
Then someone placed a sell order for 1322 XRP tokens at $50 each. What most likely happened is that someone accidentally placed a large buy order. So this unlucky guy paid a bit too much for his XRP.
The crypto exchange Gemini has been shut down
Gemini himself has not yet commented on the incident. However, due to maintenance, all services on the platform have been suspended.
“We are currently working on maintenance, so all services have been suspended. All user resources are secure. We will provide updates as more information becomes available.”
So twins. Whether the maintenance has anything to do with the Ripple chaos has not been announced. However, it is clear that there was far too little liquidity in the hours after the relisting. And an inattentive customer of the exchange has become a victim. So always be careful with a market order when there is little liquidity.