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Cryptocurrency Market Makers Having Blown Up Amid Market Crash Says Crypto Trader Alex Kruger

  • Alex Kruger tweeted that there are rapid changes in order books of BitMEX.
  • Market meltdown leads to the destruction of BitMEX’s order book. High Volatility arises.
  • Circuit breakers are triggered when the closing price of assent records 1,3 and a 20 percent drop in a commodity.

The global markets suffered a heavy meltdown yesterday, leading to a major impact on crypto markets. May cryptocurrencies suffered their largest single-day price fall in recent times.

This rapid downfall leads crypto investors in shock, in response, they started liquidations through crypto exchange BitMEX. This major price swing was so concerning for the trades. 

Due to this rapid liquidation, BitMEX went down. Many analysts pinpointed that there is a drastic fall in the numbers of traders in the crypto exchange platform. This rapid liquidation really is really a negative sign for the crypto market.

People are finding ways to prevent such crash downs. One way to prevent crash downs like that is to adopt a stock market like circuit breakers. A bold move suggested by Tushar Jain. Circuit breaker technology mostly used in the U.S. stock market. This technology is never been used in the cryptocurrency market.

Circuit breakers are triggered when the closing price of assent records 1,3 and a 20 percent drop in a commodity. In response, the breaker pause trading for 15 minutes so that it can prevent further downfall so that investors can decide there next move regarding there investment.

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Alex Kruger, an economist  tweeted that

“This is BitMEX’s order book. There’s usually beefy orders(in the millions) in the top of the book. Look at it now; 57k and 90k. See how the price is jumping around. Those are very large swings in a few minutes.”

According to Alex Kruger,  yesterday’s meltdown blows away the major number of crypto traders from the market and scared market makers and crypto exchanges.

Disclaimer

The contents of this page are intended for general informational purposes and do not constitute financial, investment, or any other form of advice. Investing in or trading crypto assets carries the risk of financial loss. The forecasted data (also called “price prediction”) on this page are subject to change without notice and are not guaranteed to be accurate.

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Adarsh Singh
Adarsh Singh
Adarsh ​​Singh is a true connoisseur of Defi and Blockchain technologies, who left his job at a “Big 4” multinational finance firm to pursue crypto and NFT trading full-time. He has a strong background in finance, with MBA from a prestigious B-school. He delves deep into these innovative fields, unraveling their intricacies. Uncovering hidden gems, be it coins, tokens or NFTs, is his expertise. NFTs drive deep interest for him, and his creative analysis of NFTs opens up engaging narratives. He strives to bring decentralized digital assets accessible to the masses.