Bitcoin hits $100,000 on Binance futures

Sunday 6 August 2020, 6:39 PM AEST - 3 days ago

Bitcoin hits $100,000 per coin on Binance

On Binance, bitcoin quarterly futures hit a high just shy of $100,000 – $99,964. While sudden moves like these arent new, it had been forgotten due to the slow, sideways moving price devoid of volatility.

With over a billion dollars worth of positions liquidated in a minor $1,400 move by Bitcoin, volatility is back. While the move might be over for now, more might be on its way. At press time, bitcoin was trading at $11,300 and had a market cap of $208 billion; but while this drop took place some exchanges, especially Binance went a little haywire.

binance-futures.jpgSource: Binance

From the above, it can be seen that the quarterly futures, which is still open hit a high of $99,964; the reason for this was automatic trading or trading using bots and algos. On the exchange, slippage seems to have played a major role in this weird turn of events.

The wick had a total volume of $2.5 million as of writing, however, more will accrue as the wick gets erased and charts are rewritten by Binance. CZ, the CEO, and co-founder of Binance had tweeted,

Another day in crypto. We do have price band protection, but a users algo went ballistic and sent multiple orders to achieve this. We will likely have to adjust this chart a bit so that its readable in the future.

While this wick did not technically cause any issues like auto-deleveraging [ADL] for bitcoin futures, it did so, for ethereum and other altcoins. XRP and TRX perpetual contacts also suffered wicks that dipped as low as 22% and 7%, respectively.

This slippage does cause a lot of trad ...

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