While the rest of the crypto market witnessed significant recovery, the Mantra (OM) price crashed, leaving traders with massive casualties. Within a few hours, the popular altcoin crashed by nearly 90%, leaving holders with losses. Although the issues have been identified, the downfall remains, leaving a group of investors in a $400M loss and many others.
Mantra Price Crash Pushed Crypto Traders Into $400M Loss
Amid the crypto market’s high volatility due to the US- China war, the Mantra price crash left investors with massive losses. This includes a group of 19 fresh crypto wallets or traders who moved 14.27M OM equivalent to $91M just three days before the crash.
Spotonchain X’s post revealed that these investors have scooped a massive OM tokens holding, i.e., 84.15M ($564.7M) from Binance just three days ago. Now, with the OM price crash, their remaining 69.08M OM are worth only $62.2M, leaving them in a staggering $406.3M loss.
Interestingly, crypto experts also anticipate that these investors could have contributed to the crash.
Forced Liquidation Led to Mantra Price Crash
The Mantra price crash has resulted in wiping out nearly $6 billion from the crypto market. Crypto experts like StarPlatinum have compared it to the LUNA crash, which affected the entire market. In a detailed analysis, StarPlatinum revealed that the crypto whales, failed Mantra airdrop, and investors’ panic resulted in the crash.
The Mantra co-founder John Patrick Mullin and the team clarified that forced liquidators from OM crypto investors on centralized exchanges resulted in the crash. More importantly, he clarified that the team is not behind the crash.
To be clear, this dislocation was not caused by the team, the MANTRA Chain Association, its core advisors, or MANTRA’s investors selling tokens. Tokens remain locked and subject to the published vesting periods. OM’s tokenomics remain intact, as shared last week in our latest token report. Our token wallet addresses are online and visible.
A Lookonchain post also brought clarity to the situation, revealing that 17 crypto traders deposited nearly 4.5% of the OM’s circulating supply, equivalent to 227M participating in the crash.
At the time of writing, the OM token price is still down, trading at $0.8 with a market capitalization of $761.45M. Investors are now eyeing the experts’ Mantra predictions to witness recovery.
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Pooja Khardia
With a deep-seated passion for reading and five years of experience in content writing, Pooja is now focused on crafting trending content about cryptocurrency market.
As a dedicated crypto journalist, Pooja is constantly seeking out trending topics and informative statistics to create compelling pieces for crypto enthusiasts. Staying abreast of the latest trends and advancements in the field is an integral part of her daily routine, fueling a commitment to delivering timely and insightful coverage
Disclaimer: The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
