Though some powerful market observers wait for the price of Bitcoin to break the all-time high of $20,000, some traders on Binance have watched the coin briefly go up today.
Bitcoin had broken past $20,000 and reached $82,000 and dropped back very fast as nothing happened.
The BTC/USD chart on Binance shows an extremely long wick that appeared at 1 AM ET last November 18. Bitcoin has started its move at $16,626, going up at exactly $82,000 and dropped to $16,635 after an hour.
However, the rest of Bitcoin’s pairs against the US dollar of other stablecoins were unaffected. The trading volume during the rally didn’t show up any anomalies. There was a spike in volume, but it is not ordinary.
What happened?
Considering the low trading volume in the period of time compared to the absurd price spike to $82,000, it seems that there was some kind of error.
A “human error” by a trader has been likely activated a number of market orders before achieving the $82,000 price mark. It would have taken a large amount of money to change hands to reach that price, depleting the trading pair’s liquidity.
Having that in mind, a bug is the most logical explanation. Truthfully some weird blips have happened on Binance before.
For instance, last October 28, 2020, a major “Darth Maul Sword” happened on the ETHUSD perpetual contracts, activating trades at particular prices without going through the standard order matching procedures.
Binance stated about today’s $82K BTC wick but we’ve yet to receive a response. And the traders we spoke with were as confused as we were. But we’ll be sure to update if anyone comes through with a better explanation.
For now, it is best to sit still and not gamble with bitcoin whenever it touched that price mark again.
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