Bitcoin’s Halving (BTC) is moments away from happening today. And uncertainty impacted the Bitcoin price over the weekend with a drop of nearly 12%. This generated panic at the BitMEX crypto exchange, causing the highest volume of contract settlements since the Coronavirus crisis hit the world.
Bitcoin fell from about $10,000 to $8,100 in a matter of hours, as the Halving event loomed. This came as a surprise to most cryptovers and especially to the crypto traders and analysts who are always on the lookout.
Is Halving going to drive up the price of Bitcoin?
The fall of Bitcoin generated panic in BitMEX at moments of Halving
This sudden panic forced BitMEX traders and investors to liquidate over $278 million of Bitcoin Futures contracts, just minutes away from the Bitcoin Halving (BTC).
That’s the highest amount since March 13 for Bitcoin Trader, Bitcoin Billionaire, Bitcoin Circuit, Bitcoin Profit, Bitcoin Era, Bitcoin Evolution, The News Spy, Immediate Edge, Bitcoin Revolution, Bitcoin Code, according to information from crypto data analyst Skew. When the total daily value of the long and short positions reached more than $700 million
Bitcoin Halving BitMEX
The vast majority of Bitcoin contract terminations on BitMEX that we saw on Sunday, were from sales contract settlements. This is generated when the price of Bitcoin (underlying asset) falls below a limit set by investors. This causes many to start getting rid of their long positions.
This, as a lifesaver before the violent variations that the world’s first crypt-currency may present.
„The massive amount of sell-offs indicates that the leverage was skewed to the upside.
Comments the BitMEX team.
This bullish sentiment should not surprise us. For, as we reported in Crypt Trend, the crypt market in general feels positive with the Bitcoin Halving event (BTC) on the horizon.
But, not only that, but it has been the norm in the crypto market since Bitcoin hit $3,000 in March. As a consequence of the announcement of the Coronavirus as a pandemic, the panic that led to the quarantine and consequently the closing of borders and the international market.