Ethereum Whale Averts Massive Liquidation with Timely Deposits
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Ethereum Whale Averts Massive Liquidation with Timely Deposits

A significant Ethereum account successfully prevented a liquidation cascade worth $360 million by swiftly adding collateral as ETH prices dropped.

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Overview

An Ethereum user managed to save multiple MakerDAO positions from a potential $360 million liquidation on Tuesday amidst plummeting ETH prices.

Key Details

  • The price of Ether fell to $1,788 on Monday, nearing the brink of a series of liquidations.
  • A wallet averted liquidation by depositing 2,000 ETH and repaying $1.5 million in DAI stablecoin.
  • Another account, believed to be associated with the Ethereum Foundation, contributed 30,098 ETH (approx. $56.08M) to decrease its liquidation price.

Liquidation Crisis averted

As ETH price tanked, one position with a liquidation threshold of $1,928 nearly triggered the liquidation auction, but the wallet owner intervened just minutes before the funds were set to be liquidated.

Additional Insights

Reports suggest that there is $1.3 billion in assets ready for liquidation on Ethereum, with about $352 million within a 20% threshold of current prices.

For further reading, you can explore the conditions of MakerDAO positions.

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