Bitcoin’s nearly 10% drop was followed by a short and quick recovery
It is in these moments that doubt (or certainty) arises in the crypto market: are we being manipulated? Within minutes Bitcoin fell by almost $ 1,000, generating panic in the community and leaving a trail of losses and settlements in the way.
Below you can see the chart with the grotesque fall (and a quick partial recovery):
Graph by: TradingView
The drop caused massive liquidations at Bitmex, with amounts in excess of $ 1 billion in longs being settled within minutes.
Altcoins also did not go unpunished with the fall of BTC, so that most of the market operates in a sharp fall. Highlight for EOS with a drop of almost 18% during the writing of this text.
Other currencies like Bitcoin Cash (BCH), Monero (XMR), Ethereum (ETH) and Litecoin (LTC) accumulate losses of approximately 10%.
In the community there are already a multitude of theories about the real reason for the sudden fall of BTC. To date, however, there is no concrete information to indicate the reasons.
Mistrust about the manipulation of the crypto market tends to gain strength (with reason) at times like this, especially when it comes to the behavior of Bitcoin whales. Today’s decline also reinforces concern about Bitcoin’s intense volatility and how it could be detrimental to institutional investors.