Famous crypto currency exchange Kraken, along with their users, experienced another sudden shock that occurred last week when the price of Bitcoin fell to $500. This time a huge gap in price was noted on the stock exchange in pair: BTC/CAD when the price of Bitcoins plummeted by 99% to just over 100 CAD.
The decline was quite marked by many cryptosuite, but instead wonder why it happened, just a rush to create purchase orders at such a low price.
#bitcoin flash crashed to $100 on @krakenfx yesterday.
Just saw this.
Imagine getting that fill. pic.twitter.com/cV5nW07uYE
— Nick Cote (@mBTCPizpie) June 2, 2019
Presumably, a failure has occurred, which has led to the fact that BTC in a matter of minutes broke out of the usual range of about 11 200CAD and fell 101CAD. Ironically, the request is set just below $100, it was just one.
Further, the price instantly went up.
Someone is trying to manipulate the market
In the discussion threads on Reddit about the failure, it has been many versions. Perhaps someone mistakenly put a large sell order at a low price:
As reported last week, Kraken has had a similar situation, but then Visual only $500. Presumably, someone sold a large amount of BTC at $500 below market prices to bring down the cost of Bitcoin.
Speaking about the incident, the head of Kraken, Jesse Powell, tried to allay the fears that the decline was caused by a failure on the exchange, noting:
“I think the community has already answered it. But what prevents us to resist such sales stand our own customers? First, it is bad for business. Secondly, it is immoral. Decentralized market is a market that does not prevent you to make a deal, you want to make. We welcome this liquidity management”.
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