Three Arrows Capital Liquidates 15K ETH On Compound In An Hour

Singapore-based hedge fund Three Arrows Capital is making the crypto market crash to deepen further. The firm is liquidating its holdings to repay the debt to prevent its liquidation.
A wallet allegedly linked to Three Arrows Capital has liquidated more than 15k ETH on Compound in just 1 hour.
Besides this wallet, Three Arrows Capital has been liquidating holdings in its other wallets too as the Ethereum (ETH) prices continues to plummet, putting liquidation pressure on the firm.
Three Arrows Capital on the Verge of Liquidation
After DeFi lending protocol Celsius, Three Arrows Capital now faces insolvency risks as financial conditions continues to deteriorate due to extreme crypto market conditions.
PeckShieldAlert in a series of tweets on June 15 revealed that Three Arrows Capital has liquidated nearly 15k ETH in 5 transactions within just 1 hour. The wallet is close to a $35 million liquidation on Compound, having levered ETH position with a 1.04 health factor.
The address uses USDT and USDC to repay the debt and withdraws ETH. Thereafter, Three Arrows Capital converts ETH to USDT or USDC on Uniswap V3 and repays the debt on Compound.
Moreover, Three Arrows Capital has been paying off its debt on AAVE V2 to avoid liquidation of its 223k ETH worth nearly $264 million. The ETH in the wallet faces liquidation risk if ETH price falls to $1016. This would increase liquidation risks. Also, it will cause massive selloff in Ethereum, which is already seen in the past few hours.
Furthermore, Three Arrows Capital is liquidating its stETH holdings to ETH amid liquidation risks. The top firms have already liquidated their positions in Three Arrows Capital. Meanwhile, several crypto firms are now revealing their explore sure to Three Arrows Capital.
Three Arrows Capital Loses Shine Amid ETH Crash
Three Arrows Capital has rumored to be facing insolvency as it faces liquidation risks. Meanwhile, the firm’s co-founder Zhu Su has revealed that they are working on the situation, while communicating with associated parties.
However, the Ethereum (ETH) price could possibly dive below the $1000 level after the Federal Reserve’s FOMC meeting today. The Fed will be possibly raising interest rates due to sticky inflation and stagflation.
- ASTER Token Rockets Over 10% in an Hour as Binance Announces Spot Listing
- Whale Dumps Massive $55 Million in XRP to Ripple as Coin Falls Below $3?
- Aster Token Crashes 10% On DEX Integrity Issues Ahead of Airdrop, What’s Happening?
- Spot Bitcoin ETFs Record 2nd Best Weekly Inflows Ever, Bloomberg Analysts Bullish
- Michael Saylor Says “No New Orange Dots” Pausing Bitcoin Buys as Holdings Hit Record $79B
- Dogecoin Price Rebounds 15% From Buy Zone as Whales Add 30M DOGE – Can Bulls Push Beyond $0.30?
- FLOKI Price Prediction as ETP Listing Drives Adoption—Is a 160% Rally Ahead?
- BNB Coin Price Hits ATH as Derivatives Activity Soars—Is $1,520 the Next Stop?
- Aster Price Eyes $3 After Channel Breakout as Open Interest Surges to $1.37B
- Will XRP Price Hit $5 if the SEC Approves ETFs This Month?
- Bitcoin Price Hits $120K Ahead of Q4 — Can Citigroup’s Forecast Hold Up?