In a startling event late Monday, Bitcoin’s price momentarily plummeted to $8,900 on the BitMEX exchange, a significant drop from its stable position above $60,000 on other platforms. This flash crash, driven by sell orders totaling $55.49 million, marked a notable deviation in Bitcoin’s price, dipping to its lowest since early 2020. Despite this, the cryptocurrency swiftly recovered within minutes, climbing back to $67,000.
The crash, occurring on the XBT/USD spot market, has prompted BitMEX to launch a comprehensive investigation into the large sell orders responsible for the sudden downturn. According to social media reports, the sell-off involved more than 850 BTC, causing a significant impact on the market.
BitMEX’s swift response included a statement highlighting the unusual trading activity observed on their BTC-USDT Spot Market. The platform reassured users that all systems were functioning normally during the incident, although aggressive selling by a few accounts was identified. BitMEX emphasized the ongoing nature of their investigation and assured users that the platform remains secure, with all funds safe.
This incident underscores the volatile nature of cryptocurrency markets and the impact of significant transactions on market stability. BitMEX’s ongoing investigation aims to shed light on the circumstances leading to the flash crash, ensuring transparency and security for its users.
