2023-06-21 14:09:00
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21.06.2023 17:09, Pavel Kotov
The cost of bitcoin in USDT stablecoins on the Binance.US crypto exchange, the American division of the international Binance, briefly exceeded $138,000 — almost five times higher than the current rate of the largest cryptocurrency and twice as expensive as the historical maximum that bitcoin set in November 2021.
Image Source: MichaelWuensch / pixabay.com
The sudden jump in the rate lasted a matter of seconds, but in this short period of time, 62.22 bitcoins were sold on the platform. In other words, a certain Binance.US bidder actually filled several orders filled “for luck” at inflated prices for bitcoins along with bids at current quotes, exchanging them for the USDT cryptocurrency, the price of which is equal to 1 US dollar.
Incidents of this kind are called flash crashes (“lightning collapse”) – as you might guess from the name, they are often accompanied not by an increase, but by a fall in the course. Such a scenario was observed on Binance.US in October 2021, when the price of bitcoin collapsed by 87% for a short time, depreciating from $65 thousand to $8.2 thousand. The platform administration then associated the incident with an error in the trading algorithm.
The sale of bitcoins at an abnormally high price now turned out to be possible due to the low liquidity of Binance.US, which arose due to a conflict with the American exchange regulator and partner banks – due to the actions of the latter, the platform was forced to withdraw the fiat American dollar from trading. Prices for cryptocurrencies on Binance.US really turned out to be higher than on other sites, but only slightly – within 3%.
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