{"id":336395,"date":"2021-09-08T16:25:00","date_gmt":"2021-09-08T13:25:00","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/who-was-selling-not-hodlers-new-data-hints-at-bitcoin-crash-culprit-amid-leverage-wipe-out\/"},"modified":"2021-09-08T16:25:00","modified_gmt":"2021-09-08T13:25:00","slug":"who-was-selling-not-hodlers-new-data-hints-at-bitcoin-crash-culprit-amid-leverage-wipe-out","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/who-was-selling-not-hodlers-new-data-hints-at-bitcoin-crash-culprit-amid-leverage-wipe-out\/","title":{"rendered":"# \u2018Who was selling? Not HODLers\u2019 \u2014 New data hints at Bitcoin crash \u2018culprit\u2019 amid leverage wipe-out"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_85 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6a41e31ba7038\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #dd3333;color:#dd3333\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #dd3333;color:#dd3333\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6a41e31ba7038\" checked aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/buradabiliyorum.com\/en\/who-was-selling-not-hodlers-new-data-hints-at-bitcoin-crash-culprit-amid-leverage-wipe-out\/#Woo_Bitcoin_margin_borrowers_and_open_interest_may_be_to_blame\" >Woo: Bitcoin margin borrowers and open interest may be to blame<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/buradabiliyorum.com\/en\/who-was-selling-not-hodlers-new-data-hints-at-bitcoin-crash-culprit-amid-leverage-wipe-out\/#%E2%80%9CHealthy_cleansing%E2%80%9D\" >\u201cHealthy cleansing\u201d<\/a><\/li><\/ul><\/nav><\/div>\n<p>&#8220;<strong># \u2018Who was selling? Not HODLers\u2019 \u2014 New data hints at Bitcoin crash \u2018culprit\u2019 amid leverage wipe-out <\/strong>&#8221;<\/p>\n<div class=\"post-content\" data-v-128018ef>Bitcoin (BTC) crashed by $9,000 in hours on Tuesday thanks to a mass unwinding of leveraged traders and borrowers, one analyst believes.<\/p>\n<p>In a <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/watch-movies-tv-seriess\/\" data-internallinksmanager029f6b8e52c=\"8\" title=\"Watch Movies &amp; TV Series\" target=\"_blank\" rel=\"noopener\">series<\/a> of tweets on Wednesday, Willy Woo sought to get to the bottom of what made BTC\/USD dive to lows of $42,800 on Tuesday.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Woo_Bitcoin_margin_borrowers_and_open_interest_may_be_to_blame\"><\/span>Woo: Bitcoin margin borrowers and open interest may be to blame<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>With rumors flying over who was behind Bitcoin\u2019s major price dip, analysts have been crunching data in order to understand where the rout began.<\/p>\n<p>Analogies to the March 2020 crash, sparked by coronavirus measures, abound, but Tuesday\u2019s event showed major differences, Woo said.<\/p>\n<p>\u201cLeverage markets sold off but investor buying just got stronger,\u201d he <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/woonomic\/status\/1435541901621399555\">summarized<\/a>.<\/p>\n<blockquote><p>\u201cBTC flash crashes are caused by deleveraging, the COVID crash was similar in that derivatives overreacted, but back then it was supported by investors. This one was completely divergent and a mystery. Cheap coins.\u201d<a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/woonomic\/status\/1435541901621399555\/photo\/1\"><\/a><\/p><\/blockquote>\n<p>Woo subsequently suspected that the dip came as a result of margin borrowing and open interest. In a classic domino effect, positions unwound to produce a \u201ccascade\u201d of liquidations and a positive feedback loop, which severely impacted spot price.<\/p>\n<blockquote class=\"twitter-tweet\">\n<p lang=\"en\" dir=\"ltr\">Typo. Open Interest was NOT crazy high, it was within normal bounds.<\/p>\n<p>\u2014 Willy Woo (@woonomic) <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/woonomic\/status\/1435573734295818241?ref_src=twsrc%5Etfw\">September 8, 2021<\/a><\/p><\/blockquote>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<h2><span class=\"ez-toc-section\" id=\"%E2%80%9CHealthy_cleansing%E2%80%9D\"><\/span>\u201cHealthy cleansing\u201d<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>While the processes involved may be complicated for the average observer, the strength of Bitcoin\u2019s rebound and ongoing investor buy-ins suggest that cold feet among hodlers were not involved in the event.<\/p>\n<p><strong><em>Related:\u00a0Bitcoin&#8217;s sharp fall from $50K linked to stronger US dollar, gold correlation shows<\/em><\/strong><\/p>\n<p>According to on-chain monitoring resource Whalemap, large-volume investors who were newcomers to the market provided the vast majority of sell-side pressure.<\/p>\n<p>\u201cSo yesterday we had a sell off. The move was quite violent and large volumes of Bitcoin were being sold off on spot markets, researchers <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/whale_map\/status\/1435580564661317638\/\">tweeted<\/a> alongside a chart showing where those parties had acquired BTC. <\/p>\n<blockquote><p>\u201cBut who was selling? Not HODLers. Mostly whales and in fact the ones that bought their btc only quite recently.\u201d<\/p><\/blockquote>\n<figure><img decoding=\"async\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2021-09\/e24adf63-1bfd-4cbd-9798-5570e2e2e558.png\" alt=\"\" title=\"\"><figcaption style=\"text-align: center;\"><em>Bitcoin whale outflows annotated chart. Source: Whalemap\/<a href=\"https:\/\/buradabiliyorum.com\/en\/category\/social-mediaa\/\" data-internallinksmanager029f6b8e52c=\"1\" title=\"Social Media\" target=\"_blank\" rel=\"noopener\">Twitter<\/a><\/em><\/figcaption><\/figure>\n<p>For fellow analyst William Clemente, meanwhile, Tuesday provided a welcome reset of frothy derivatives markets.<\/p>\n<p>\u201cInvestor activity strengthening + Leveraged speculators wiped = healthy cleansing,\u201d he <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/WClementeIII\/status\/1435580243021123588\">concluded<\/a> alongside Woo\u2019s findings.<a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/WClementeIII\/status\/1435580243021123588\/photo\/1\"><\/a><\/p>\n<p><template data-name=\"subscription_form\" data-type=\"markets_outlook\"><\/template><\/div>\n<blockquote><p><strong><span style=\"color: #ff6600;\">If you liked the article, do not forget to share it with your friends. Follow us on\u00a0<span style=\"color: #ff0000;\"><a style=\"color: #ff0000;\" href=\"https:\/\/news.google.com\/publications\/CAAqBwgKMLG0nwswvr63Aw\" target=\"_blank\" rel=\"nofollow noopener noreferrer\">Google News<\/a><\/span>\u00a0too, click on the star and choose us from your favorites.<\/span><\/strong><\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\">For forums sites go to <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/forum.buradabiliyorum.com\/\" target=\"_blank\" rel=\"noopener\">Forum.BuradaBiliyorum.Com<\/a><\/span><\/strong>\n<\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\"><strong>If you want to read more <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/news\/\" data-internallinksmanager029f6b8e52c=\"2\" title=\"News\" target=\"_blank\" rel=\"noopener\">News<\/a> articles, you can visit our <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/en.buradabiliyorum.com\/general\/\" target=\"_blank\" rel=\"noopener\">General category.<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<p><span style=\"color: black;\"><a style=\"color: #ff9900;\" href=\"https:\/\/cointelegraph.com\/news\/who-was-selling-not-hodlers-new-data-hints-at-bitcoin-crash-culprit-amid-leverage-wipe-out\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>&#8220;# \u2018Who was selling? Not HODLers\u2019 \u2014 New data hints at Bitcoin crash \u2018culprit\u2019 amid leverage wipe-out &#8221; Bitcoin (BTC) crashed by $9,000 in hours on Tuesday thanks to a mass unwinding of leveraged traders and borrowers, one analyst believes. In a series of tweets on Wednesday, Willy Woo sought to get to the bottom&#8230;<\/p>\n","protected":false},"author":1,"featured_media":336396,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"https:\/\/images.cointelegraph.com\/images\/1200_aHR0cHM6Ly9zMy5jb2ludGVsZWdyYXBoLmNvbS91cGxvYWRzLzIwMjEtMDkvZjA2NzJkMzktNmFmNC00ZDYxLTgyZjYtNWQ2NTM5OTY2YjYzLmpwZw==.jpg","fifu_image_alt":"","footnotes":""},"categories":[1],"tags":[74862,74937,73785],"class_list":["post-336395","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-general","tag-bitcoin","tag-bitcoin-price","tag-markets"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/336395","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/comments?post=336395"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/336395\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/336396"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=336395"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=336395"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=336395"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}