The price of #BTC surges up to 153,900 dollars
Extreme anomaly on Bitfinex
During the session on September 20, the chart for the perpetual futures contract of #bitcoin (BTC-PERP) on the Bitfinex Derivatives exchange recorded an unprecedented bullish wick that catapulted its price to 153,960 dollars—practically doubling its value within seconds—before immediately reverting to global market levels (around 85,000 dollars).
What happened, and why did it occur only on Bitfinex?
The event is a classic “Flash Spike” (or liquidity wick) in the order book of Bitfinex’s derivatives market, a phenomenon that did not affect the actual spot price of Bitcoin across the rest of the industry.
There are three key factors explaining why this incident was isolated to this platform:
Temporary liquidity shortage in the order book (Thin Order Book): Unlike platforms with massive derivatives volumes (such as #Binance or Bybit), the BTC-PERP perpetual pair on Bitfinex Derivatives has a thinner sell-side order book. A large market buy order (market order), or a cascade of executions, swept through—within milliseconds—all available sell orders up to the 153,900-dollar level.
In-chain liquidations of short positions (Local Short Squeeze): As aggressive buys were executed, the exchange’s forced liquidation algorithms automatically closed traders’ short positions (shorts). These liquidations force the system to buy at any available market price to cover margin, fueling an upward spiral that only stopped once the orders up to 153,960 dollars were consumed.
#CryptoNews
$BTC
$XRP
$SOL
Extreme anomaly on Bitfinex
During the session on September 20, the chart for the perpetual futures contract of #bitcoin (BTC-PERP) on the Bitfinex Derivatives exchange recorded an unprecedented bullish wick that catapulted its price to 153,960 dollars—practically doubling its value within seconds—before immediately reverting to global market levels (around 85,000 dollars).
What happened, and why did it occur only on Bitfinex?
The event is a classic “Flash Spike” (or liquidity wick) in the order book of Bitfinex’s derivatives market, a phenomenon that did not affect the actual spot price of Bitcoin across the rest of the industry.
There are three key factors explaining why this incident was isolated to this platform:
Temporary liquidity shortage in the order book (Thin Order Book): Unlike platforms with massive derivatives volumes (such as #Binance or Bybit), the BTC-PERP perpetual pair on Bitfinex Derivatives has a thinner sell-side order book. A large market buy order (market order), or a cascade of executions, swept through—within milliseconds—all available sell orders up to the 153,900-dollar level.
In-chain liquidations of short positions (Local Short Squeeze): As aggressive buys were executed, the exchange’s forced liquidation algorithms automatically closed traders’ short positions (shorts). These liquidations force the system to buy at any available market price to cover margin, fueling an upward spiral that only stopped once the orders up to 153,960 dollars were consumed.
#CryptoNews
$BTC
$XRP
$SOL
