The price of Bitcoin on popular cryptocurrency exchange, Binance rose suddenly from around $42,000 to $420,000 multiple times in the hours leading up to press time. The development turned out to be a technical glitch affecting the chart display on the website.
The Bitcoin/USDT perpetual contract offering on Binance is a derivative instrument that allows traders to speculate on the price of Bitcoin without actually owning the asset. Unlike traditional futures contracts with an expiry date, perpetual contracts continue indefinitely.
A Technical Glitch
As noted earlier, the latest six-figure surge in BTC/USDT Perpetual Contracts on Binance was a mere mirage caused by a technical glitch affecting the chart display.
Binance confirmed this in an X post and assured users that trading was unaffected and their “funds are SAFU,” a phrase popularized by former CEO Changpeng Zhao (CZ) to emphasize user safety. The exchange also added that their team is working to resolve the issue as “soon as possible.”
We’re aware of a visual error with chart display on USDT-Margined BTC/USDT Futures.
Do note that Trading is not impacted, and our team is working on resolving the issue as soon as possible.
Funds are SAFU.
— Binance (@binance) December 29, 2023
While trading continues, the latest price swings displayed on the glitchy chart have caused anxiety and confusion among traders (especially short traders). While some took to social media to express frustration and disbelief, others saw humor in the situation, joking about suddenly becoming Bitcoin millionaires (albeit only on paper).
A Repeat of September’s Chart Nightmare
Meanwhile, this is not the first time Binance has experienced a chart hiccup. In September, a similar incident occurred on the exchange, prompting concerns about data accuracy and platform stability. At the time, CZ also cited a technical issue with the chart display.
The latest development comes as bitcoin is staging an extensive recovery after a tumultuous period. At the time of writing, the flagship cryptocurrency was trading at $42,648, representing an 11% surge in the past 30 days and a 158% increase since the beginning of the year.
Bitcoin’s stellar 2023 performance has been largely linked to improved macroeconomics and anticipation of a spot Bitcoin ETF in the United States. A decision on the latter is expected in early January, with many defining the impending launch as a potential landmark for the emerging asset class.
The post Bitcoin Hits $420K on Binance, But It’s Not Real appeared first on Coinfomania.
