Unknown Trader Loses $55 Million on Ether Trade on Binance
An unknown single trader or trading entity lost $55 million on an ether trade against binance usd (BUSD) on crypto exchange Binance. This loss accounted for nearly 30% of all liquidated futures on Binance. The large amount suggests that a large firm or ether holder was hit hard during the sudden drop in crypto markets.
Key Points:
– The trader lost $55 million on an ether trade against BUSD on Binance.
– This loss represented almost 30% of all liquidated futures on Binance.
– The size of the loss indicates that a large firm or ether holder was affected.
– The drop in ether’s price came amid one of the largest futures liquidations in over a year.
– Rumors of SpaceX selling its bitcoin holdings and low volatility in the market contributed to the drop in prices.
The sudden drop in ether’s price occurred as it went from $1,780 to as low as $1,560 within minutes. Trading volume also surged from $6 billion to over $20 billion across exchanges. However, there was some recovery in price amid reports of U.S. securities regulators planning to approve ether futures ETFs for trading in the country.
In the past 24 hours, ether traded at just over $1,690, down 6%. Bitcoin also fell 7%, experiencing its largest drop in recent months. Other major cryptocurrencies such as XRP, DOGE, and BCH also saw significant losses, falling as much as 15%.
Hot Take
The significant loss of $55 million by an unknown trader highlights the risks and volatility of the crypto market. It also raises questions about the potential impact of large entities or holders on market movements. The sudden drop in ether’s price, coupled with rumors and low volatility, led to a cascade of liquidations and selling pressure. It serves as a reminder for crypto traders to exercise caution and carefully manage their positions.
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