“Glitch” Sends Crypto Market Cap Into The Quintillions!

By ProCoinNews • December 14, 2021 7:13 pm • Comments

The crypto market today had a massive “glitch” (more on that in a minute) that for a while sent the market cap into the quintillions!

At least, I think so…it was a lot of commas and zeros to count, I may have gotten lost.

Which always reminds me of t his great meme:

Trending: Bitcoin SUPPLY SHOCK, Timeline For Potential Crisis Revealed

But let’s get serious for a minute…

The error was not just on one platform, but was experienced across many including CoinMarketCap, Coinbase and others.

Decrypt had more info on what may have gone wrong (or is that “gone right”?):

The proximate source of the incorrect data is CoinMarketCap, one of the top crypto price data providers. According to CoinMarketCap, a single Bitcoin today blew well past the $50,000 resistance to become worth $799 billion. Ethereum now goes for $43 billion. Thanks, EIP-1559!

Trust Wallet, which relies on CoinMarketCap for price data, was one of the affected products. Though coin and token balances appeared correctly in user balances, their dollar values did not.

Trust Wallet wasn’t alone. Exodus numbers also showed incorrect dollar balances. Even Coinbase was affected; it uses CoinMarketCap figures to display values of assets it doesn’t list, such as XRP.

CoinMarketCap has not yet responded to Decrypt’s request for more information about whether the error was the result of a glitch or hack. It did tweet a short acknowledgement of the issue: “The Engineering team is aware of incorrect price information appearing on http://CoinMarketCap.com. We are currently investigating and will update this status when we have more information.”

Though the data was incorrect, it may have contributed to a real stall in the crypto market recovery that was underway—if users rushed to cash out before taking a closer look. After dropping to $46,600 yesterday, BTC prices shot up today to just under $48,700. Indeed, prices are mostly flat over the last hour, since the error was discovered.

InvestorPlace had other info:

The apparent CoinMarketCap glitch is a hilarious way to cap off a slow Tuesday for the asset class. While many cryptos either continue to pare losses in a continuation of a hard week, others have been stagnating. Of course, the massive gains caught investors’ attention. The crypto spike is also helping to expose the reliance of other websites on CoinMarketCap for their data.

CoinMarketCap is the most popular database for crypto data by far. But while it’s a very popular site for users to look at charts and learn about new coins and tokens, it’s also what many major outlets use to showcase crypto for their own users.

Since CoinMarketCap’s glitch first began, a slew of other websites have seen the same issues. Yahoo Finance, for example, is showing its users the same price fluctuations. Trust Wallet, one of the most popular crypto wallets, is seeing the same issues, since it also uses CoinMarketCap’s data. In fact, since this glitch first reared its head, the section of Trust’s website explaining is pricing data has crashed from an apparent flood of traffic. Even some crypto news outlets are bearing the burden of this technical error; after poking fun at CoinMarketCap, CoinTelegraph’s data was also quickly thrown into disarray.

If the glitch is showing anything, it shows that there is a heavy reliance on CoinMarketCap for data. Indeed, one of the site’s biggest competitors, CoinGecko, is still showing crypto price data as normal. In the midst of all this craziness, CoinGecko would be remiss to get in on the CoinMarketCap jostling.

But now I want to advance the story…

I want to talk about some interesting things I noticed today.

First, it wasn’t just Coinbase or just CoinMarketCap as many are reporting.

It was many sources and quote services, albeit they all likely draw data from the same source.

But not only that, all coins weren’t affected, only some were.

Here are the ones I noticed that were affected, which can be seen from the charts:

XDC:

MATIC:

BNB:

HOLO:

THETA:

And of course XRP, which went as high as $22 million per coin:

Those are just a few I saw, there were likely many others, but definitely not all of the market.

In fact, I would say less than 10% of the market by what I saw.

It could be nothing…

It could be just a hack, just bad data, just a glitch.

But, you have to wonder, are these the coins pre-selected to “win”?

The chosen ones?

When I saw the “glitch” I instantly thought of the XRP Price Set Theory.

Have you heard about this?

It’s a theory that’s been kicked around for a long time online (at least a “long time” in crypto years) saying that at some point you’ll wake up one day and the price of XRP will be “set” as some price.

Sound crazy?

You do know it’s happened before, right?

Study up on Executive Order 6102 in 1933 when the U.S. Government confiscated all private gold….at a set price:

So will it happen again?

Will it happen with XRP?

Many online have thought so:

A similar theory is called the Shane Ellis Theory and has also been floated around for a while online.

From CryptoManiac on Medium, here is the unedited Shane Ellis Theory:

I have recently posted the below and as you have also touched on this subject, then i would like you to consider these facts before stating that XRP will take extreme amounts of money to reach $589.

Please take particular note of the section where I show on the Bittrex Exchange that transacting small amounts of money can push up the price dramatically. Please do not be fooled into thinking that it will take ‘Billions of Dollars’ to force the price of XRP to the extremes — it will not.

I wanted to say thank you for making a video that does not berate others for suggesting a price of $589 as many others have. I have posted many comments explaining why, in my professional opinion, XRP can reach very high numbers dramatically faster than any other coin which is currently on the market. As you have opened this discussion, i wanted to go through the simplification of this process so you may hopefully share this information and thus see for yourself (a confirmation if you will) of how this will be achieved.

As you know, Ripple have now partnered with a number of exchanges around the world and surely this number will grow. This network of liquidity providers will become the go-to place for buy/sell for Retail Market Makers as these are the exchanges that are servicing transactions for the payment flows of the institutions. If an exchange is not within this liquidity network, then the XRP on these exchanges will drain away as Retail investors begin to move their XRP onto the platform. This will happen due to either:

Arbitrage — although other exchanges will not let the price fluctuate too much so as not to miss out on the higher prices

Natural migration to preferred exchanges for rapid buy/sell opportunities

As one can expect, no exchange will want to miss out on the potential for making money where servicing XRP transactions would provide a healthy income stream for the exchange. Unfortunately, most exchanges are simply not large enough with enough capital backing for Ripple to sign them as a preferred exchange.

Now, onto the method of price increase which I believe will occur. We can guarantee that the spread on the exchange for XRP will be extremely tight so as to ensure near perfect entry and exit from the Ripple Preferred Partner Solution (RPPS from now on). The RPPS consortium will also be working within a framework that will ensure co-ordinated price movement of XRP to eliminate arbitrage trading from XRP/FIAT pairs which will then obviously filter into the USDT/BTC markets on these exchanges (thats even if they still exist at this point). It will be a requirement that these 3rd party pairs will need to decouple from XRP so as to ensure that extreme price fluctuations in BTC will never impact the price of XRP. Even a price drop of $0.01 cent will have a dramatic impact on the movement of value when we are talking about Millions of Dollars.

Now, we know that members of RPPS have been (and continue to be) pre-funded with XRP so they may service the xRapid transactions. This pre-funding is necessary to guarantee transactions made by Financial Institutions, we can’t have any of the transactions fail due to lack of XRP liquidity! These exchanges will also be reliant of the XRP provided by Market Makers to bolster the XRP liquidity thus adding to the exchange total supply. Now, the exchanges will prefer (at first) to use the XRP from Market Makers to increase the price of the XRP Coin. Why do Isay this? Because it simply makes sense to use the immediately available XRP to raise the price in a dramatic fashion. This then increases the Exchange reserve pool that ‘must’ service the transaction requests, but now it has been increased dramatically… let me explain:

Bittrex Order book currently shows that from $0.27 cents to $1.49 totals $47,078 Dollars through XRP/FIAT pairing (which is the same channel that will be used by RPPS)
– Simply transacting $47,078 at this point will instantly push the price of XRP to $1.49
– Bittrex Order book currently shows that from $0.27 cents to $25 totals $3,651,361 Dollars
– Transacting $3,651,361 Dollars at this point will instantly push the price of XRP to $25
– Bittrex Order book currently shows that from $0.27 cents to $100 totals $3,743,466 Dollars
– Transacting $3,743,466 Dollars at this point will instantly push the price of XRP to $100

Now the XRP price numbers get much higher than this if you take a look for yourself, but it makes sense to use these orders to push up the price in a dramatic fashion so as to provide a stable pool of XRP liquidity to service further Institutions and FX transfer. The Exchange at this point can then create large Buy/Sell walls at either side (in the magnitude of 10’s of Millions of XRP) from their very own supply to ensure price stability. By performing this simple maneuver, the exchange can not be accused of XRP price manipulation as the Retail orders where filled first and then the exchange stepped in to service the rest of the transactions.

I mention the phrase ‘at this point’ due to the fact that no Retail Investor knows when xRapid is going to go live, so this can in fact happen at any time, and Ripple needs it to remain this way. By ensuring this they can guarantee a ‘one time’ rapid price increase that professional investors will also be glad of. They will want to ensure, in fact ‘guarantee’, that Market Makers are then priced out of the market and those who are intelligent enough to have already purchased will be flocking to sell their XRP in an instant. They will need to sell at a lower rate to ensure the sell of their coins as placing them in a pool of 10’s of millions of XRP will not fill their order immediately.

I know this seems such a simple process to be believable, but make no mistake this is what ‘will’ happen, and it will be happening all over the world on the RPPS at the same time as all XRP Liquidity providers will begin tight alinement regards XRP price.

NB — I wanted to add the figure for you which is an easy to understand number that will guarantee a price of $500 per XRP. This is on a single exchange granted, but when XRP goes live (and it will without the knowledge of Retail investors), the productions corridors will begin to flow simultaneously. This ‘will’ happen, and the price will increase in perfect synchronicity on all Ripple preferred exchanges all over the world… so…
– Bittrex Order book currently shows that from $0.27 cents to $500 totals $39,544,766 Dollars
– Transacting $39,544,766 Dollars at this point will instantly push the price of XRP to $500

Now let me be clear — $39,544,766 is all it would take to push up this price on the USD/XRP market. All other markets (BTC/XRP ETH/XRP USDT/XRP) on this exchange will rise in tandem as to coincide with this price. It will not take Billions of dollars to push up this price, you can see this now.. You have mentioned that you have been in the markets for some time now and you must know that there are small and large jumps in-between the sell orders. It is the sell orders that bring up the price, no one can buy if there is no sell order.

Very interesting!

If you’re more of a visual learner, the Digital Asset Investor has previously made videos on both topics.

Here is the Shane Ellis Theory:

And here is the XRP Price Set Theory:

Join the conversation!

We have no tolerance for comments containing violence, racism, profanity, vulgarity, doxing, or discourteous behavior. If a comment is spam, instead of replying to it please click the icon below and to the right of that comment. Thank you for partnering with us to maintain fruitful conversation.

 

Search ProCoinNews