Pudgy floor is crashing because of loans
There are 550 leveraged loans on pudgies on blur, for context there are 215 loans for bayc
When eth price crashes lenders pulling out is normal
It’s important to always look at fundamentals, it’s usually not some rumour but Economics
It’s normal behavior for people to trade like this when something is hyped and anticipated.
Especially with abstract TGE.
It is, however, wild behavior to do this because their TGE is somewhere in Q4, so buying this on Blur is the craziest mistake.
Because unlike other lending platforms which are time-based and fixed date payment plans, on Blur the lender can pull liquidity anytime they want. Giving a 24-hour liquidation window; if someone doesn’t step in or you don’t buy it, you lose it.
Which is like trading 50x leverage.
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