everyone thinks market crashes happen because market makers vanish into thin air, but actually they never left the order book in the first place.
most of you keep getting rekt on market orders during volatile sweeps, watching insane slippage eat half your profits before the fill even confirms. it feels like you got rugged by the book itself.
ngl i watched this exact trap play out on $BTC and $SOL perps earlier. the order book looked super stacked five minutes before the wick, showing millions in comfortable resting bids. then volatility hit and the market makers did not pull their orders completely, they just cut their quote sizes into dust and blew the spreads wide open.
they simply stopped taking on inventory risk, meaning that thick liquidity you trusted suddenly became way too expensive to use. retail ends up taking massive losses just trying to panic exit $ETH positions into widening spreads.
how are you guys managing execution slippage when the books dry up like this?
#CryptoTrading #MarketMakers #Binance
most of you keep getting rekt on market orders during volatile sweeps, watching insane slippage eat half your profits before the fill even confirms. it feels like you got rugged by the book itself.
ngl i watched this exact trap play out on $BTC and $SOL perps earlier. the order book looked super stacked five minutes before the wick, showing millions in comfortable resting bids. then volatility hit and the market makers did not pull their orders completely, they just cut their quote sizes into dust and blew the spreads wide open.
they simply stopped taking on inventory risk, meaning that thick liquidity you trusted suddenly became way too expensive to use. retail ends up taking massive losses just trying to panic exit $ETH positions into widening spreads.
how are you guys managing execution slippage when the books dry up like this?
#CryptoTrading #MarketMakers #Binance