A bug fix-related incident by Arkham Intelligence occurred on Wednesday, which once again shook the entire cryptocurrency market as the price of Bitcoin saw a drastic decline. This occurred in addition to the price correction in the cryptocurrency market during a weakening macroeconomic environment, which was followed by some positive momentum due to the declining price of First Republic Bank’s stock.
The abrupt price change began after the US government and Mt. Gox-related wallets started moving BTC, according to a rumor that surfaced on cryptocurrency Twitter. An Arkham Alert was issued a warning of this.
Arkham went on to say that they have just rectified a fault with regard to Bitcoin alerts. The fix effectively prevented them from sending users notifications. Furthermore, Arkham claimed that DB had previously established alarms with the names “Mt Gox” and “US Gov” for Bitcoin transactions above $10,000. Users, therefore, received the previously set alerts after the problem was resolved.
“When we fixed a bug causing us to not send alerts on configs like this, he then correctly received many alerts based on his parameters. No one received inaccurate alerts, they simply began receiving the alerts they had previously set.”
No matter what prompted the flash crash, the fast and unexpected price decrease created havoc on the derivatives market, with the total amount of liquidations for crypto market players presently topping $211 million. Almost $97 million of these liquidations were made by Bitcoin dealers.
It is important to keep in mind that despite numerous setbacks, Bitcoin has been on the rise for the majority of 2023. The largest cryptocurrency in the world increased from over $16,000 to almost $24,000 just in January. After rising to above $30,000, there was a lot of hope for Bitcoin’s future performance. At the time of writing, Bitcoin is slightly trading above the $29k level.
Source: https://coinpedia.org/bitcoin/heres-why-bitcoin-btc-price-dropped-below-30k-what-next-for-btc-price/