Bitcoin just flash crashed right before CBOE futures expire (09/19/2018). For the most part alts didn’t seem to be buying it, as they mostly refused to panic and drop against Bitcoin.
One could argue it is moves like this that make regulators weary of crypto markets, however… others would argue that if we had more players able to access Bitcoin in a safe way (like for example via Bakkt or potentially ETFs) it would be harder for manipulators to move the price so quickly. Consider, GBTC (the only Bitcoin stock) only moved a few points. That sort of shows that the manipulators didn’t even bother to access every market for the drop.
Maybe the logic above doesn’t hold up, but that aside, for sure we just saw a flash crash in BTC to $6.1k followed by a quick bounce back to $6.3k… where we started.
I’ll keep you updated on how this plays out. For now, hard eye roll at whoever just filled their CBOE contracts.
TIP: I am not inside the heads of the people who hit buy and sell, so I don’t know for sure the flash was related to CBOE futures. Tilray also went insane today around the same time. So maybe its just something in the water…. you know, water, where whales live.
UPDATE: Bitcoin just went back up $400 in like 10 minutes to $6.5k, essentially undoing the correction the past couple of days. Complete insanity on lower time frames, but pretty average day for Bitcoin on the daily. Crazy. Also Tether went down 2.5% in the process. One should expect some volatility before a direction is found.