According to Datamish data, cryptocurrency The giant whales of the Bitfinex stock exchange are approximately 12,000 at around 16:00 Turkish time today. bitcoin He abruptly closed his long positions, and this is the biggest change since June last year.
Whales Sudden Closes $330M Bitcoin Long Position
12,000 Bitcoins corresponds to approximately 330 million dollars at the time of this writing.
The BTC cost of this position could be in the $25,000-35,000 range. Currently there are still 93,400 BTC longs on Bitfinex and shorts are at their lowest in almost a year.
The sudden closure of a large long position on Bitfinex by whales is certainly noteworthy and could have a potential impact on the cryptocurrency market.
Some cryptocurrency community members think these whales may be bots that profit from funding rates.
Funding rates are fees paid by one party to the futures contract to the other that help keep the futures price close to the spot price. When the funding rate is positive, the longs pay the shorts, and when the funding rate is negative, the shorts pay the longs.
This system encourages traders to stabilize the market, but it can also create opportunities for bots to profit by taking advantage of price differences between the futures and spot markets.
It should be noted, however, that speculation as to the reason behind the whales’ action remains mere speculation. Without more information, it seems impossible to draw firm conclusions as to what caused the long position to be closed.
*Not investment advice.
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