After crossing its all-time high, Bitcoin is currently trading at $65,000, continuing its sideways movements to turn this zone into a defensive line.
As Bitcoin continued its horizontal course above $64,000, there was a sudden drop in Binance US. The price briefly fell 88% from $65500 to $8200.
There were also pullbacks on other exchanges during this move, but we observed that the price did not go below $64200. Due to the pullback in Bitcoin, Ethereum fell from $4300 to $4100.
While Binance US has not made a statement regarding this abnormal price movement, it is not yet known whether the error is due to systemic or trader error. In addition to a systemic error, it is considered that a large trader may have triggered this dump with incorrect numbers and market order options.
Some investors think that this price action is intentional to manipulate the market.
Mr.Whale’s twitter account took the issue to a different dimension, claiming that this drop was related to Tether and its smell would be released soon.
That 90% #Bitcoin flash crash was a foreshadow of what happens when #Tether implode Just saying…
— Mr. Whale (@CryptoWhale) October 21, 2021
When we look at the volume created during the dump, we see that there is a volume of about 600 BTC. Since it is impossible for a 600 BTC sale to trigger such a large dump, we assess that the event may have been caused by a systemic bug.
If there is a statement from Binance US on the subject, the news will be updated.
While Bitcoin is trading at $65220 as of our news time, Ethereum continues to be traded at $4240.
*Not Investment Advice.