The Mantra (OM) price recently crashed, leading to significant losses for investors in the crypto market. The popular altcoin plummeted by nearly 90%, causing holders to suffer massive casualties. Despite efforts to identify the issues causing the crash, the downward trend continues, resulting in a group of investors facing a whopping $400 million loss.
The crash was a result of forced liquidation of the token on centralized exchanges, according to the Mantra team. Additionally, a group of 19 new crypto wallets or traders had moved a substantial amount of OM equivalent to $91 million just three days before the crash. This group had purchased a massive OM token holding worth $564.7 million from Binance, but with the crash, their remaining tokens are now valued at only $62.2 million, resulting in a loss of $406.3 million.
The aftermath of the Mantra price crash has wiped out nearly $6 billion from the crypto market, similar to the impact of the LUNA crash. Crypto experts attribute the crash to various factors, including the actions of crypto whales, failed Mantra airdrop, and panic among investors. The co-founder of Mantra, John Patrick Mullin, clarified that the team, core advisors, and investors were not behind the crash, emphasizing that tokenomics remain intact.
A detailed analysis provided by experts highlighted that 17 crypto traders deposited a significant portion of the OM circulating supply, equivalent to 227 million tokens, contributing to the crash. Currently, the OM token price is still down, trading at $0.8 with a market capitalization of $761.45 million. Investors are closely following expert predictions to anticipate a potential recovery in the future.
In conclusion, the Mantra price crash has left a significant impact on the crypto market, causing massive losses for investors. The forced liquidation of tokens on exchanges, coupled with factors like failed airdrops and investor panic, led to the sharp decline in the OM price. As the market continues to navigate through the aftermath of the crash, investors are hopeful for a potential recovery in the future based on expert analyses and predictions.
