Today, we will delve into the rise and fall of Bitcoin within 17 minutes and the lesson every trader and cryptocurrency enthusiast can draw from it.
Even stable coins like Bitcoin are susceptible to sharp fluctuations based on news, so it is crucial to promptly react to all informational triggers and always verify information sources.
Anyone close to the cryptocurrency market has encountered rumors about the possible approval of a Bitcoin ETF by the U.S. Securities and Exchange Commission (SEC).
On October 16 at 16:21, the popular Twitter publication Cointelegraph released news about the approval of a Bitcoin ETF, causing a frenzy as many people started exiting the market. This led to a colossal 5% price surge for Bitcoin!
Over the next 17 minutes, thousands of people who supported the “bearish trend” and bet against Bitcoin saw losses totaling over $100 million, while those expecting further price growth continued to invest.
Throughout this frenzy, various insiders in Telegram chats and on Twitter expressed doubts about the authenticity of the news and awaited an official comment from the SEC.
At 16:30, the news was debunked, and the price corrected to its previous value in the next 10 minutes.
According to various sources, the person responsible for publishing this news was fired from the company. However, a few hours before the news release, a transaction for buying Bitcoin was noticed, and before the debunking, there was a sale. As a result, a profit of $2.2 million was gained.
Whether these events are connected is unknown.
What is known is that independent research for credible information can take a colossal amount of time, and in times of universal frenzy, it is nearly impossible. Therefore, using tools like ArbitrageScanner Message provides users with an advantage as a necessary source of information for analysis.
The tool is valuable in this situation for tracking various opinions to form a strategy, as well as signaling favorable conditions for arbitrage or other market actions.