Huobi Token Plummets 90%: Justin Sun Steps In with $100M Fund

• Huobi’s native token, HT, experienced a 90% price drop on Thursday.
• Over $2 million worth of HT tokens were sold on the Huobi Exchange leading up to the crash.
• Justin Sun is the largest holder of HT tokens and has created a $100 million liquidity fund for those impacted by the leveraged liquidation.

Huobi’s Native Token Experiences Price Crash

Huobi’s native token, HT, experienced a 90% price drop on Thursday dropping from $4.6 to $0.31 in just 10 minutes before recovering back to $3.81 at press time with a 21% decline in 24 hours.

Causes of Price Drop

Transaction data from Kaiko’s research analyst shows that more than $2 million worth of HT tokens were sold on Huobi prior to the crash and Tron’s founder Justin Sun was reported to have moved $60 million in USDT from Huobi to Aave as well. As Justin Sun is the largest holder of HT tokens and serves as an advisor to Huobi exchange, this could explain why Tron’s token, TRX also dropped by 12% during this time period from $0.057 to $0.066 according to CoinMarketCap.

Justin Sun Responds

Justin Sun commented on this sudden price plunge saying that few users triggering a cascade of forced liquidations in the spot and HT contract markets may have been responsible for this and promised that he will continue to improve the liquidity depth of main cryptocurrencies and HT token as well as strengthen leverage risk warnings and liquidity capabilities for his users. Furthermore, he also dismissed this event as being normal market occurrence while assuring his community that operations are safe and creating a $100 million liquidity fund for those affected by leveraged liquidation due to this incident.

Implications For The Crypto Market

This incident highlights how volatile crypto markets can be at times with large holders being able control prices by manipulating supply or demand through their trading activities thus having an impact on short term prices despite not necessarily having any effect long term prices or trends which ultimately depend upon macroeconomic events or news related developments such as regulatory decisions or broader adoption rates etcetera rather than individual traders‘ activities within exchanges alone..


Although it is still unclear what exactly caused this drastic price change, it appears that Justin Sun had some involvement due his position within both Tron & Huobi platforms which allowed him access resources necessary manipulate market conditions temporarily enough cause significant price changes like these ones experienced today thus affecting short term prices temporarily while leaving long term trends unaffected overall regardless who ultimately wins out when all dust settles down eventually after markets move past current volatility levels seen right now into more stable conditions again soon enough too hopefully soon enough too!