On May 17, Bitcoin's price fell from $ 7800 to $ 6700 in minutes in a flash crash on BitMEX. Immediately afterwards, the price of Ethereum dropped from $ 240 to $ 190.
The sudden drop in Bitcoin prices was triggered by placing a large sales order on Bitstamp and other major crypto exchanges, which triggers contracts on margin trading platforms such as BitMEX to liquidate.
Quit the stamp to trigger Bitmex liquidation. pic.twitter.com/RBmtjr88mT
– Light (@LightCrypto) May 17, 2019
Eric Conner, a developer of Gnosis, said : [19659010"Parasasanggunianmayasongananaglagayng5000BTCbebentasaBitstampnagagamitngBitMEXparasa50%ngfeednitoatambawngawongilangaggaalgorithmnaginawangkaskadsaBitMEX"
A whale Crashed the entire crypto market 20% in 5 minutes with a single sell order in books and people actually think ETF is coming ?
– Eric Conner (@econoar) May 17, 2019
Conner explains that market manipulation of crypto, perhaps in a single whale an exchange (ETF) approvals in the near-term.
Bitcoin's bullish momentum disrupted
The 5,000 BTC sells the wall at Bitstamp which leads to selling both bitcoin and Ethereum to BitMEX, which led to a $ 30 billion decrease in crypto market analysis overnight.
Still, over the past seven days, the price of Bitcoin has grown from around $ 6200 to $ 8300, by more than 26 percent against the US dollar.
Some analysts say, including the global market analyst Alex Krüger that the overnight 10 percent drop of most crypto assets could prove to be the evidence of the probability of the possibility of crypto assets as a safe shelter against global financial instability is broken
"We can now include the ineffective narration of bitcoin as a hedge for US-China trade wars Moving is being engineered by a small part of the parties, and this crash is also unlike the sexy, I know. "
While the action of the short-term price of Bitcoin and other core assets of the crypto are absorbed by the market, investors still hope the market will maintain positive emotions and trends in the coming months.
] While a minor pullback in the crypto market is expected by many investors, the magnitude in which assets fell came as a surprise to traders.
More Than One Reason Why Bakkt Persuades
In a sense, short-term correction is triggered by a whale exploited by the current market structure of the crypto.
If the market has more trusted, controlled, and widely used platforms, it may be more difficult to manipulate the market and the prices of key crypto assets.
Peter Brandt, a respected businessman and technical analyst, said on May 13 that Bakk's launch, scheduled to take place in July by the Commodity and Futures Trading Commission (CFTC) approval may be have an ongoing impact on the crypto market state. Brandt said:
"This contract will be the death of dozens and dozens of dishonest and non-liquid exchanges around the world while the industry is driving towards a standardized price discovery with custody protection and trade settlement process. "
Bitcoin and the rest of the crypto market were quickly recovered after a 10 percent drop, leaving a signal of relief after a rapidly moving price movement.
Bitcoin, currently ranked # 1 in the market cap, is down 9.27% in the past 24 hours. BTC has a market cap of $ 129.19B with a volume of 24 hours of $ 30.39B.
Chart by CryptoCompare
Filed Under: Bitcoin, BitMEX, Crypto Change, Ethereum, Price Watch
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