RE: Price Plunge Came From $1.2B Sell-Off
Was busy yesterday and missed following much in the cryptosphere, checked Bitcoin’s price and imagine my shock last night when I saw the drop. No worries but the amount of negative press that creeps-up when these drops happen is annoying af. Here’s a bit on the plunge for any interested
BITCOIN PRICE PLUNGE CAME FROM $1.2B SELL, DATA SAYS AMID HASHRATE ROW
“BYTE TREE: EXCHANGE TRIGGERED ‘SHORT TERM PANIC’
That was the conclusion of monitoring resource Byte Tree, which provided fresh data for the past 24 hours’ trading activity on Wednesday.
The theory offers a new perspective on the tumultuous week for Bitcoin investors. They watched as the largest cryptocurrency fell by up to 20% in hours.
According to Byte Tree, a transaction from a private wallet to an exchange worth $1.2 billion triggered the dip. The scale of funds at involved sparked a panic selling session.”
On the same subject, here’s this:
“Bitcoin Price ‘Manipulated’ Before Futures Settlement Dates: Research
According to findings from Arcane Research reported by Norwegian crypto news outlet Kryptografen on Sept. 24, CME Group’s Bitcoin futures settlement dates, in particular, appear to negatively influence BTC markets.
Analyzing price behavior from January 2018 to August 2019, the company found that 75% of the times immediately before CME issued payouts, Bitcoin fell.
CME was one of the first operators to launch Bitcoin futures in December 2017. Since then, interest has peaked, with this year seeing frequent all-time highs for trading volumes.
Arcane published the numbers just hours before Bitcoin nosedived 15%, bottoming out at $8,000. That event happened to occur days before a major settlement date: on Friday, 50% of open interest in Bitcoin options is set to expire.
The week’s timing is also conspicuous following the launch of a new futures product from institutional trading platform Bakkt. Despite volumes being low, executives have already claimed the effectiveness of the product in helping markets with price discovery.”