• Home
  • Altcoin
  • Bitcoin
  • Blockchain
  • Cryptocurrency
  • DeFi
  • Dogecoin
  • Ethereum
  • Market & Analysis
  • More
    • NFTs
    • XRP
    • Regulations
  • Shop
    • Bitcoin Coin
    • Bitcoin Hat
    • Bitcoin Book
    • Bitcoin Miner
    • Bitcoin Standard
    • Bitcoin Miner Machine
    • Bitcoin Merch
    • Bitcoin Wallet
    • Bitcoin Shirt
No Result
View All Result
Card Bitcoin
Shop
Card Bitcoin
No Result
View All Result
Home Bitcoin

Behind Bitcoin ‘Flash Crash’ To $88,000 – On-Chain Lessons Learned

n70products by n70products
December 7, 2024
in Bitcoin
0
Behind Bitcoin ‘Flash Crash’ To $88,000 – On-Chain Lessons Learned
74
SHARES
1.2k
VIEWS
Share on FacebookShare on Twitter


The previous week has been an eventful seven-day span for the Bitcoin worth motion and the final cryptocurrency market. From the flagship cryptocurrency reaching a six-figure valuation to “flash crashing” to underneath $90,000, buyers have gone via numerous feelings over the previous week.

Unsurprisingly, the Bitcoin “flash crash” has been a significant supply of commentary previously day, with a number of pundits offering insights as to how this phenomenon may have an effect on the Bitcoin trajectory. Beneath are a number of the on-chain classes realized from the sudden worth plunge, based on CryptoQuant’s head of analysis.

What Occurred In The BTC Futures Market?

In a brand new submit on the X platform, CryptoQuant’s head of analysis Julio Moreno weighed in on the flash “crash” of the Bitcoin worth to round $88,800 on Thursday, December 5. For context, a flash crash refers to a state of affairs when the value of an asset abruptly declines however recovers virtually instantly.

Based on Moreno, the newest flash crash skilled by the premier cryptocurrency was triggered by a sell-off cascade and deleveraging within the BTC futures market. The crypto skilled revealed that open curiosity dwindled as the value of Bitcoin fell on Thursday, signaling the liquidation of a good portion of the leveraged lengthy positions within the futures market.

Moreover, the funding rates, which check with the periodic funds exchanged between merchants within the perpetual futures market, skilled a pointy decline when the Bitcoin worth dropped. When the funding charges flip unfavourable, it means that the market is changing into bearish, with quick merchants prepared to pay a premium.

Moreno famous that the declining funding charges signaled that the costs of perpetual futures are falling quicker than spot costs. It’s price noting that when the funding charges are within the unfavourable throughout a worth crash, it may sign that traders anticipate additional bearish strain within the quick time period.

Bitcoin

Supply: JJCMoreno/X

An on-chain statement that stood out from the submit of CryptoQuant’s head of analysis is that the spot demand stays robust regardless of the weak futures market dynamics. That is primarily based on the Coinbase Premium metric, which tracks the distinction in worth on Coinbase (a spot alternate) and different exchanges (normally futures-dominated). Based on Moreno, the premium has grown stronger within the optimistic territory, reflecting a robust shopping for curiosity amongst US buyers.

Bitcoin Value At A Look

As of this writing, the price of BTC sits simply beneath the $100,500 mark, reflecting a 2% improve previously 24 hours. Based on information from CoinGecko, the premier cryptocurrency now boasts a market capitalization north of $2 trillion.

Bitcoin
The worth of BTC on the day by day timeframe | Supply: BTCUSDT chart on TradingView

Featured picture from iStock, chart from TradingView



Source link

Tags: BitcoinCrashFlashLearnedLessonsOnChain
Previous Post

USDC Becomes First Stablecoin To Gain Compliance With New Canadian Crypto Asset Requirements

Next Post

Swamp Notes: America’s first ‘Bitcoin president’

Next Post
Swamp Notes: America’s first ‘Bitcoin president’

Swamp Notes: America’s first ‘Bitcoin president’

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Product categories

  • Bitcoin Book
  • Bitcoin Coin
  • Bitcoin Hat
  • Bitcoin Merch
  • Bitcoin Miner
  • Bitcoin Miner Machine
  • Bitcoin Shirt
  • Bitcoin Standard
  • Bitcoin Wallet
  • Products
  • Uncategorized

Related News

Machine Learning Algorithm Predicts XRP Price Direction For This Week, What To Expect

Machine Learning Algorithm Predicts XRP Price Direction For This Week, What To Expect

October 21, 2024
Crypto Exchange OKX To Launch New Security System After Scrutiny From EU Regulators

Crypto Exchange OKX To Launch New Security System After Scrutiny From EU Regulators

May 6, 2025
Ethereum Muir Glacier Upgrade Announcement

Ethereum Istanbul Upgrade Announcement | Ethereum Foundation Blog

March 12, 2025

Recents

Sharplink’s $1B Ethereum bet: How it can change the game for ETH

Sharplink’s $1B Ethereum bet: How it can change the game for ETH

June 1, 2025
France Charges 25 Over Crypto Kidnapping Spree in Paris

France Charges 25 Over Crypto Kidnapping Spree in Paris

June 1, 2025
Bitcoin Sharpe Ratio Says It’s Time For ‘Cautious Optimism’ — Further Upside Growth Incoming?

Bitcoin Sharpe Ratio Says It’s Time For ‘Cautious Optimism’ — Further Upside Growth Incoming?

June 1, 2025

CATEGORIES

  • Altcoin
  • Bitcoin
  • Blockchain
  • Cryptocurrency
  • DeFi
  • Dogecoin
  • Ethereum
  • Market & Analysis
  • NFTs
  • Regulations
  • XRP

BROWSE BY TAG

Altcoin ALTCOINS Analyst Binance Bitcoin Bitcoins Blog Breakout BTC Bullish Bulls Coinbase Crash Crypto DOGE Dogecoin ETF ETH Ethereum Foundation Heres high hits Key Level Major Market Memecoin Move Outlook Predicts Price Rally Report SEC Solana Support Surge Target Top Trader Trump Updates Whales XRP

© 2024 Card Bitcoin | All Rights Reserved

No Result
View All Result
  • Home
  • Altcoin
  • Bitcoin
  • Blockchain
  • Cryptocurrency
  • DeFi
  • Dogecoin
  • Ethereum
  • Market & Analysis
  • More
    • NFTs
    • XRP
    • Regulations
  • Shop
    • Bitcoin Coin
    • Bitcoin Hat
    • Bitcoin Book
    • Bitcoin Miner
    • Bitcoin Standard
    • Bitcoin Miner Machine
    • Bitcoin Merch
    • Bitcoin Wallet
    • Bitcoin Shirt

© 2024 Card Bitcoin | All Rights Reserved

Are you sure want to unlock this post?
Unlock left : 0
Are you sure want to cancel subscription?
Go to mobile version