Making Sense of May 19 Volatility: Flipside Crypto
Blog

Making Sense of May 19 Volatility: Flipside Crypto

2m
2 years ago

ow did the crypto chaos of May 19 impact gas prices and transaction loads? We take a closer look at a tough day for transaction fees and a busy one for whales.

Making Sense of May 19 Volatility: Flipside Crypto

Índice

We’re back to taking a closer look at mid-May’s bear market blues.

We previously examined the volatility and chaos in the market last month as prices for tokens around the ecosystem fell, and fell hard. Then, it was all about rapidly declining values for meme tokens, big spikes in liquidations, and massive token inflows on CEXes and DEXes alike.
But how did all this chaos play out for traders? Well, as @BlumbergKellen shows us with labeled on-chain data via Velocity, May 19 was a tough day for transaction fees and a busy one for whales.

Gas Goes Sky-High ⛽

The chaos started fairly early in the morning on May 19, at least for American traders. At roughly 9am EST, there was a massive spike in transaction fees.

That spike would leave ripples that resounded throughout the day, with average transaction fees a new high for May.

Whale’s Tales 🐋

Why were gas fees so high you ask? Well, because as prices dropped around the crypto ecosystem, traders, especially whales, rushed to get their funds out and avoid being liquidated.

As we can see in the chart below, May 19 saw a massive jump in whale activity, with the number of high-value transactions (here defined as those worth more than $100,000) climbing 30% higher than its previous peak.

Safe to say that May 19 was a day that most crypto traders won’t be forgetting any time soon.

Want to take a deeper look at the on-chain data for that fateful day, or see real-time data for several protocols and coins? Join Flipside Crypto on Discord, follow on Twitter and subscribe to the Bounty Brief to keep up with all of our data and analysis.

This article contains links to third-party websites or other content for information purposes only (“Third-Party Sites”). The Third-Party Sites are not under the control of CoinMarketCap, and CoinMarketCap is not responsible for the content of any Third-Party Site, including without limitation any link contained in a Third-Party Site, or any changes or updates to a Third-Party Site. CoinMarketCap is providing these links to you only as a convenience, and the inclusion of any link does not imply endorsement, approval or recommendation by CoinMarketCap of the site or any association with its operators. This article is intended to be used and must be used for informational purposes only. It is important to do your own research and analysis before making any material decisions related to any of the products or services described. This article is not intended as, and shall not be construed as, financial advice. The views and opinions expressed in this article are the author’s [company’s] own and do not necessarily reflect those of CoinMarketCap.
6 people liked this article