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Bitcoin Flash Crashes to $8,900 on BitMEX After User Dumps 400+ BTC

Published 19/03/2024, 07:39
© Reuters.  Bitcoin Flash Crashes to $8,900 on BitMEX After User Dumps 400+ BTC
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Coin Edition -

  • A BitMEX user has been involved in a massive sale of more than 400 Bitcoins.
  • The massive sale resulted in a BTC flash crash on BitMEX, where it reached $8,900.
  • BitMEX asserted that the exchange has initiated a probe into the matter and assured that the customer funds are safe.

According to recent reports, a BitMEX user sold more than 400 Bitcoins on the exchange, resulting in the fall of BTC price on BitMEX to a severe low of $8,900. In a recent X post, Chinese crypto journalist Colin Wu shared insights on the mysterious BTC sale and its aftereffects.

The user could be called a “rogue seller” as they have been involved in a sudden, massive sale. Usually, a rogue seller is a person who is engaged in an unexpected sale of a large amount of assets without even being bothered about price impact. The BitMEX Bitcoin seller could be called a rogue as their dumping of 400 BTC cost them tens of millions of dollars by selling at unfavorable prices. There is a possibility that the sell was executed by a faulty algorithm.

In response to the matter, BitMEX asserted that the platform has initiated an investigation into the “unusual activity.” In addition, the exchange assured that BitMEX was operating normally and that the customer funds were safe. BitMEX added, “This does not affect any of our derivative markets, nor the index price for our popular XBT derivatives contracts.”

Reportedly, Bitcoin’s price on BitMEX has currently returned to its normal level, hovering around the $65k mark. According to the current updates of CoinMarketCap, Bitcoin is trading at a weekly low of $65,298. Bitcoin has plummeted notably over the last 24 hours, marking a decrease of 4.28%. Over the past 7 days, Bitcoin has dipped by 8.87%. However, in one month, Bitcoin has surged by more than 25%.

The post Bitcoin Flash Crashes to $8,900 on BitMEX After User Dumps 400+ BTC appeared first on Coin Edition.

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