Waves Spikes 32% in One Hour as Huobi Trading Competition Underway

Waves (WAVES) experienced a 32% boost to its dollar valuation within the space of one hour on September 10th. That’s one of the most stratospheric spurts of growth seen all year – bettered only by the occasional Bitcoin Diamond (BCD) pump and dump.

While numerous media outlets attributed the upcoming launch of smart contract compatibility on the Waves blockchain, the sudden pump actually coincided with the launch of Huobi’s Waves trading competition. Rewards totalling $30,000 are up for grabs for the Huobi user who trades the most Waves coins within the next few days.

Waves Price Spikes on Huobi Comp

As was announced yesterday by the Huobi exchange:

“From 10 September, 15:00 until 14 September, 15:00 (GMT +8), upon successful registration of this activity, the Top 30 real-name users with a cumulative WAVES trading volume (buy + sell volume excluding self-dealing) of not less than 32000 WAVES (excluding trading fee) shall receive the following rewards…”

At 10:00 UTC on Monday, September 10th, WAVES was trading at a price of $1.93. Within the next fifty minutes the coin price surged 32% to a valuation of $2.56. The surge was accompanied by a trade influx of 775% as Waves trades rose from $4 million to $35 million.

With the trading competition still under way, we might expect to see the majority of trades coming from Huobi. However, that’s not the case. Instead we see Binance continue to reign as the exchange with the most activity, and only 5.5% of the daily total has come from Huobi.

Coincidental Timing

The massive spike to the value of WAVES may have been the result of traders buying up bags of the coin in anticipation of the spike from Huobi’s competition. Conversely, the spike could simply be what most skeptics would assume it to be – the first step of a well-disguised pump and dump.

The last few days have been extremely busy for the Waves platform. As mentioned above, the much anticipated rollout of smart contract capabilities is expected to go live in the coming weeks, as Waves CEO Sasha Ivanov tweeted:

“#SmartContracts are finally released on $waves mainnet. A totally new approach to #blockchain business logic is being put to the test. Experience history in the making.”

The Waves team also tweeted out the launch of the new SIMDAQ platform – an application built on Waves that offers users crypto trading courses, trading simulators, and even the option of building their own trading bots.

Of course, it could simply be the case that the trio of Waves announcements covered here was enough to push the coin price up by almost a third. Without being too cynical, this seems unlikely, especially in a time when announcements struggle to convert to coin buys.

Either way, expect to see some volatility from Waves over the next few days as Huobi’s trading competition continues to run.

Featured image courtesy of Shutterstock. 

Greg Thomson is a freelance writer who contributes to leading cryptocurrency and blockchain publications like CCN, Hacked, and others.