Bitcoin drops 9% in a minute

 Bitcoin price reacts to interest rates in the US, increasing and decreasing dramatically, causing many investors to “burn out” derivative orders.

On the morning of September 22, the US Federal Reserve (Fed) announced interest rates to overcome inflation. The new interest rate adjustment reached an increase of 0.75 percentage points, unchanged from the two adjustments in June and July. Bitcoin price fluctuated wildly after this news.


According to data from CoinMarketCap , the price of the largest digital currency in the market dropped suddenly from the price of 20,154 USD to 18,343 USD , equivalent to a decrease of nearly 9% in just 1 minute. However, the largest digital currency quickly recovered to $ 19,370 , the market gradually recovered.


Before the announcement of the interest rate, a large amount of Bitcoin was transferred to the exchanges. In addition, the Bitmex cryptocurrency exchange announced that the platform had an error. Many Twitter users expressed concern with their derivatives positions because they could not access the exchange. By 23:40 late on September 21, the platform resumed operation and committed to the user’s funds still safe.


Before the meeting, most observers believed the Fed would raise interest rates by 0.75 percentage points, or 75 basis points, for the third time in a row. Only a few investors think the US central bank can raise interest rates by 1 percentage point to deal with persistent inflation.


Bitcoin’s drop caused many investors to liquidate derivative orders. According to data from Coinglass , over the past 24 hours, more than 54,700 traders have had their futures positions liquidated. The largest liquidated order had a volume of 1.94 million USD on Okex exchange.


After Bitcoin’s price crash, more than $191 million of futures positions were liquidated in 24 hours. The largest liquidation volume from crypto exchange Okex, accounting for about 65.28 million USD .


The largest liquidated cryptocurrency is Ethereum (ETH), reaching $59.61 million . This is followed by Bitcoin (BTC), the volume of which is liquidated hovering around the $40.82 million mark . Coming in at number three on the chart is Ripple (XRP). Over 8.40 million XRP coins liquidated in the last 24 hours.