Looking at the tape over the past two days, it appears that aggressive spot selling drove the market down, but the root cause is actually a Short Gamma Crash.Max Pain is at $82k, a level that is now completely out of reach. Market Makers are being forced to sell spot—and even buy large amounts of far OTM calls—to reduce their delta. However, due to insufficient liquidity, this has triggered a vicious cycle. This time, quite a few major market makers have been slaughtered again. $BTC $ETH
Dr.Hash“Wesley”
@CryptoApprenti1
02-06
Today, someone in the group chat raised a question, and I'll explain it. Why is 60k $BTC so firm on all exchanges? It's because, according to the data, at the 60k level, there are a large number of profitable puts, and market makers are selling puts (either taking profits and
From Twitter
Disclaimer: The content above is only the author's opinion which does not represent any position of Followin, and is not intended as, and shall not be understood or construed as, investment advice from Followin.
Like
Add to Favorites
Comments
Share
