{"id":163346,"date":"2024-03-19T13:38:08","date_gmt":"2024-03-19T13:38:08","guid":{"rendered":"https:\/\/crypto-economy.com\/?p=163346"},"modified":"2024-03-19T13:38:11","modified_gmt":"2024-03-19T13:38:11","slug":"bitmex-investigates-flash-crash-bitcoin-plunges-to-8900-amid-unusual-trading-activity","status":"publish","type":"post","link":"https:\/\/crypto-economy.com\/bitmex-investigates-flash-crash-bitcoin-plunges-to-8900-amid-unusual-trading-activity\/","title":{"rendered":"BitMEX Investigates Flash Crash: Bitcoin Plunges to $8,900 Amid Unusual Trading Activity"},"content":{"rendered":"<p style=\"text-align: justify\"><span data-preserver-spaces=\"true\">TL;DR<\/span><\/p>\n<ul style=\"text-align: justify\">\n<li><strong><span data-preserver-spaces=\"true\">Flash Crash on BitMEX<\/span><\/strong><span data-preserver-spaces=\"true\">: Bitcoin\u2019s price briefly dropped to $8,900 from around $67,000 in a sudden \u2018flash crash\u2019 on the BitMEX exchange, while other platforms showed no such drop.<\/span><\/li>\n<li><strong><span data-preserver-spaces=\"true\">Whale Activity Speculation<\/span><\/strong><span data-preserver-spaces=\"true\">: The crash is speculated to have been caused by a \u2018whale\u2019 selling over 400 BTC, leading to a temporary halt of withdrawals from certain accounts on BitMEX.<\/span><\/li>\n<li><strong><span data-preserver-spaces=\"true\">Investigation Underway<\/span><\/strong><span data-preserver-spaces=\"true\"><span data-preserver-spaces=\"true\">: BitMEX is actively investigating the unusual trading activity and has assured that all funds are safe, with the identity of the seller and further details yet to be revealed.<\/span><\/span><br \/>\n<hr \/>\n<\/li>\n<\/ul>\n<p style=\"text-align: justify\"><span data-preserver-spaces=\"true\"><strong>Bitcoin\u2019s price on the BitMEX crypto <a href=\"https:\/\/crypto-economy.com\/cryptocurrency-exchange\/\" target=\"_blank\" rel=\"noopener\">exchange<\/a> plummeted to $8,900 late Monday, while the cryptocurrency was trading well above $60,000 on other platforms.<\/strong> This sudden drop, which is being referred to as a \u2018flash crash\u2019, has sparked an <a href=\"https:\/\/www.bloomberg.com\/news\/articles\/2024-03-19\/exchange-investigates-flash-crash-that-sent-bitcoin-to-8-900\" target=\"_blank\" rel=\"noopener\">investigation<\/a> by BitMEX into the unusual trading activity.<\/span><!--more--><\/p>\n<blockquote class=\"twitter-tweet\" data-width=\"550\" data-dnt=\"true\">\n<p lang=\"en\" dir=\"ltr\">\u201cBitcoin down to $8,900 on BitMEX?&quot; Well, not quite the whole picture.<\/p>\n<p>Yes, we are investigating potential misconduct by traders on our Bitcoin-USDT Spot market (\ud83d\udc40Did you even know we offer Spot trading?)<\/p>\n<p>However, this incident had NO impact on our billion-dollar derivatives\u2026 <a href=\"https:\/\/t.co\/qWXXnyQxjw\" target=\"_blank\">pic.twitter.com\/qWXXnyQxjw<\/a><\/p>\n<p>&mdash; BitMEX (@BitMEX) <a href=\"https:\/\/twitter.com\/BitMEX\/status\/1770036207424344271?ref_src=twsrc%5Etfw\" target=\"_blank\" rel=\"noopener\">March 19, 2024<\/a><\/p><\/blockquote>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<p style=\"text-align: justify\"><span data-preserver-spaces=\"true\"><strong>The sudden drop in Bitcoin\u2019s price, known as a \u2018flash crash\u2019, started at 22:40 UTC.<\/strong> In just two minutes, the price of Bitcoin plummeted to $8,900, a value not seen since the early part of 2020. However, the recovery was equally swift, with prices rebounding to $63,000 by 22:50 UTC. <strong>Despite the dramatic fluctuation on BitMEX, Bitcoin\u2019s global average price remained steady at around $63,300.<\/strong><\/span><\/p>\n<p style=\"text-align: justify\"><span data-preserver-spaces=\"true\"><strong>Social media users have speculated that the crash was triggered by a \u2018whale\u2019 selling over 400 BTC.<\/strong> This large sell order is believed to have driven the BTC\/USDT spot pair down to $8,900. The BTC\/USDT pair represents Bitcoin\u2019s Tether-denominated price, with Tether being the world\u2019s leading dollar-pegged stablecoin.<\/span><\/p>\n<h2 style=\"text-align: left\"><span data-preserver-spaces=\"true\">Market Speculations: The Role of a &#8220;Whale&#8221; in Bitcoin\u2019s Price Plunge<\/span><\/h2>\n<p><img fetchpriority=\"high\" decoding=\"async\" class=\"alignnone size-full wp-image-163352\" src=\"https:\/\/crypto-economy.com\/\/wp-content\/uploads\/2024\/03\/BitMexBTC.jpg\" alt=\"BitMEX Investigates Flash Crash: Bitcoin Plunges to $8,900 Amid Unusual Trading Activity\" width=\"825\" height=\"300\" srcset=\"https:\/\/crypto-economy.com\/\/wp-content\/uploads\/2024\/03\/BitMexBTC.jpg 825w, https:\/\/crypto-economy.com\/\/wp-content\/uploads\/2024\/03\/BitMexBTC-300x109.jpg 300w, https:\/\/crypto-economy.com\/\/wp-content\/uploads\/2024\/03\/BitMexBTC-768x279.jpg 768w\" sizes=\"(max-width: 825px) 100vw, 825px\" \/><\/p>\n<p style=\"text-align: justify\"><span data-preserver-spaces=\"true\"><strong>Crypto analyst Syq has reported that an unidentified large-scale trader, often referred to as a &#8220;whale&#8221;, offloaded an estimated total of 400 <a href=\"https:\/\/crypto-economy.com\/what-is-bitcoin\/\" target=\"_blank\" rel=\"noopener\">BTC<\/a>.<\/strong> This was done in increments of 10 to 50 BTC over a span of two hours. Additionally, Syq disclosed that BitMEX has temporarily halted withdrawals from certain accounts.<\/span><\/p>\n<p style=\"text-align: justify\"><span data-preserver-spaces=\"true\">In response to the incident, BitMEX stated on social media that it is investigating the large sell orders: <\/span><\/p>\n<blockquote>\n<p style=\"text-align: justify\"><em>\u201cWe are investigating unusual activity in the past few hours involving a user selling large orders on our BTC-USDT Spot Market. This does not affect any of our derivative markets, nor the index price for our popular BTC derivatives contracts,\u201d BitMEX said.<\/em><\/p>\n<\/blockquote>\n<p style=\"text-align: justify\"><span data-preserver-spaces=\"true\">The trading platform assured users that it is operating normally and all funds are safe. As of now, the identity of the user who placed the large sell orders remains unknown. The investigation is ongoing, and further updates are expected from BitMEX in the coming days.<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>TL;DR Flash Crash on BitMEX: Bitcoin\u2019s price briefly dropped to $8,900 from around $67,000 in a sudden \u2018flash crash\u2019 on the BitMEX exchange, while other platforms showed no such drop. Whale Activity Speculation: The crash is speculated to have been caused by a \u2018whale\u2019 selling over 400 BTC, leading to a temporary halt of withdrawals &#8230; <\/p>\n<p class=\"read-more-container\"><a title=\"BitMEX Investigates Flash Crash: Bitcoin Plunges to $8,900 Amid Unusual Trading Activity\" class=\"read-more button\" href=\"https:\/\/crypto-economy.com\/bitmex-investigates-flash-crash-bitcoin-plunges-to-8900-amid-unusual-trading-activity\/#more-163346\" aria-label=\"More on BitMEX Investigates Flash Crash: Bitcoin Plunges to $8,900 Amid Unusual Trading Activity\">Read more<\/a><\/p>\n","protected":false},"author":32,"featured_media":163351,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[102,100,70,74],"tags":[4602,5035,5536,4789],"_links":{"self":[{"href":"https:\/\/crypto-economy.com\/wp-json\/wp\/v2\/posts\/163346"}],"collection":[{"href":"https:\/\/crypto-economy.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/crypto-economy.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/crypto-economy.com\/wp-json\/wp\/v2\/users\/32"}],"replies":[{"embeddable":true,"href":"https:\/\/crypto-economy.com\/wp-json\/wp\/v2\/comments?post=163346"}],"version-history":[{"count":1,"href":"https:\/\/crypto-economy.com\/wp-json\/wp\/v2\/posts\/163346\/revisions"}],"predecessor-version":[{"id":163358,"href":"https:\/\/crypto-economy.com\/wp-json\/wp\/v2\/posts\/163346\/revisions\/163358"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/crypto-economy.com\/wp-json\/wp\/v2\/media\/163351"}],"wp:attachment":[{"href":"https:\/\/crypto-economy.com\/wp-json\/wp\/v2\/media?parent=163346"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/crypto-economy.com\/wp-json\/wp\/v2\/categories?post=163346"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/crypto-economy.com\/wp-json\/wp\/v2\/tags?post=163346"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}