[Analysis: Binance BTC/USD1 Pair's Flash Drop to $24,000 Yesterday May Be Due to Insufficient Liquidity] According to Mars Finance, market sources indicate that on Wednesday afternoon at 5 PM, the price of Bitcoin on the Binance BTC/USD1 pair briefly flashed to $24,111 before quickly recovering to above $87,000. This anomaly only occurred on the new stablecoin USD1 trading pair backed by World Liberty Financial; other BTC trading pairs were unaffected, and the overall market price remained stable. Analysis suggests that such flash drops are typically related to insufficient liquidity, especially in newly launched or low-volume stablecoin trading pairs. Due to limited order book depth, a single large sell order or automated trading can cause sudden and significant price fluctuations. Previously, it was reported that the Binance BTC/USD1 pair briefly dipped to $24,111 yesterday before quickly recovering.
Analysis suggests that the flash drop in the Binance BTC/USD1 trading pair to $24,000 yesterday may have been due to insufficient liquidity.
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