Bitcoin Flash Crash Analysis

On December 5, Bitcoin experienced a sharp flash crash, falling to $90,200. This unexpected drop triggered over $885 million in liquidations across various trading platforms. The crash interrupted Bitcoin's recent bullish trend, which had seen prices above $100,000 just before the downturn. The crash is indicative of the volatile nature of cryptocurrency markets, where rapid price fluctuations can result in significant liquidations of leveraged positions. This crash was notably one of the largest liquidation events on record, affecting a wide range of traders. Reports indicate that during this event, over $1 billion in leveraged positions were wiped out, showcasing the immense financial impact on the broader crypto ecosystem. Show Less