Huobi token saw a 90% flash crash, recovery; community blames high sales, market downturn

Huobi token saw a 90% flash crash, recovery; community blames high sales, market downturn

Mar. 9, 2023

By Dorian Batycka

The decline led to over $200,000,000 of market cap gone from HT within an hour, only to recover by over 1000% minutes after.

Huobi, the 17th largest crypto exchange, has seen its native token collapse by 90% in a flash crash during Thursday trading.

At 3:45 pm, HT was trading at $4.70. By 4:10 pm, it was down to $1.83. By 6:00 pm, it was back up $3.90, 30% lower than it had started the day.

Huobi Token (HT) is the native cryptocurrency of the Huobi Global exchange, based on the Ethereum blockchain and launched in January 2018. It is used to reduce commissions for trading, purchase VIP-status plans, vote on exchange decisions and receive crypto rewards.

The decline led to over $200,000,000 of market cap gone from HT within an hour, only to recover by over 1000% minutes after.

The flash crash of the token today led to some interesting theories online.

Kaiko claims high sales

According to a tweet by a Kaiko researcher, sales worth $2 million were reported in the five minutes leading up to the crash, which is significantly higher than the usual $600,000 buys on the HT-USDT pair. Despite a 24% decline over the past 24 hours, the token has rebounded and is currently trading at $3.70 on Huobi.