BlockBeats News, February 6th, Parker White, Chief Investment Officer and Chief Operating Officer of DeFi Dev Corp, speculated today that the "BTC major drop may be due to the forced liquidation of IBIT hedge fund leveraged options positions, with a large scale possibly soon to be disclosed."The overseas crypto community generally holds a partially affirmative attitude towards this speculation. Haseeb, Partner at Dragonfly, stated that this comment is "a relatively reasonable explanation of what happened in the market." The market is awaiting relevant documents three months later to verify whether this assumption is correct, which is another significant advantage of on-chain markets.Ki Young Ju, CEO of CryptoQuant, stated that it is hard to imagine institutions selling such a large amount of stock all at once unless they are forced to do so. The frightening aspect of Bitcoin's forced sell-off is that it often triggers a chain reaction. As funds are liquidated, prices drop, miners go bankrupt, and even retail investors who hold on until the end are forced to stop loss. If the stock price does not see a substantial rebound at the current level within the next month, the risk of structural and cascading sell-offs by institutional investors will significantly increase. Once institutional investors sell at the bottom, they are unlikely to come back. Rebuilding trust takes a long time.

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