E L Emerson
Strange days indeed; just as Ethereum’s co-founder, Charles Hoskins, is telling CNBC that “we’re going to see a consolidation after a crash,” the price of his company’s Ether product gains over 13% in the space of 24 hours.
It would appear that Mr Hoskins strategy of predicting “black swans” and market reckonings for the media is good for business.
Or at least for his business.
Not only did his pronouncement align with Ether’s sudden gargantuan gains, but arrived as it was reinstalled as the world’s second largest cryptocurrency, a position it lost 10 days ago to upstart crypto-competitor Ripple.
The company’s move to exclude three Korean exchanges from its price averages “due to the extreme divergence in prices from the rest of the world and limited arbitrage opportunity” was the likely the primary reason for the flip-flop in positions, along with the impact on Ripple of Coinbase’s announcement barring new entrants to its platform, and Ripple’s continuing legal battle over $multi-billion option contracts with bank consortium R3.
Cryptocurrencies are generally seen as being more expensive on Korean exchanges relative to other global crypto-focused geographies, and this disparity affected market capitalisation values.
In simplest terms, the exclusion helped hike Ether’s position and make it one of the only major cryptocurrencies to register significant gains to date this week.
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