Entrepreneur
Kurra Bewarse Username: Entrepreneur
Post Number: 3580 Registered: 05-2011
Rating: N/A Votes: 0 | Posted on Tuesday, May 25, 2021 - 10:22 am: | |
Bitcoin traders using up to 100-to-1 leverage are driving the wild swings in cryptocurrencies Traders taking excessive risk in the bitcoin market being forced to sell when the price goes down were the bigger culprits for last week’s 30% drop in bitcoin prices, according to analysts. Bitcoin traders liquidated roughly $12 billion in levered positions last week as the price of the cryptocurrency spiraled, according to bybt.com, a cryptocurrency futures trading platform. “Selling begets more selling until you come to an equilibrium on leverage in the system,” says JMP’s Devin Ryan. |