Finance

Crashes driven by big margin bets, new crypto banking

0


Bitcoin‘s aggressive moves are being driven by much more than the next China crackdown or Elon Musk headline.

Traders taking excessive risk in the unregulated cryptocurrency market being forced to sell when prices go down were in large part responsible for last week’s 30% drop in prices and outages for major exchanges, according to analysts. A burgeoning bitcoin lending market is also adding to the volatility.

The price of cryptocurrencies tanked last week, with bitcoin losing roughly a third of its value in a matter of hours. Bitcoin popped to nearly $40,000 on Monday but is still down about 33% from its high.

When traders use margin, they essentially borrow from their brokerage firm to…



Source cnbc.com

Why houses are so expensive in the U.S.

Previous article

Home prices in March saw highest growth in over 15 years: S&P Case-Shiller

Next article

You may also like

Leave a Reply

avatar
  Subscribe  
Notify of

More in Finance