BTC/USD1 crashes 70%, are stablecoins no longer stable?

Around 5 p.m. this Wednesday, an extreme flash crash occurred in the crypto market. At that time, during late night Eastern Time, the BTC/USD1 trading pair's price plummeted from $87,000 to over $24,000 within just a few seconds, a drop of up to 70%.

Within seconds, the price of the trading pair quickly recovered to its original level. Imagine if someone had pre-positioned themselves and used leverage of thousands of times; theoretically, they could have made huge profits.

It is worth noting that USD1 is a stablecoin issued by the Trump family for the World Liberty Financial project. This sharp price fluctuation also brings to mind the absurd operations of exchanges disconnecting from the internet several times years ago, but at the time, exchanges stated it was caused by technical failures leading to market chaos.

In summary, this event once again reminds us of the high risks in the cryptocurrency market. Even stablecoins are not always stable. Investors are advised to prioritize tokens with high consensus or those holding compliant licenses when making investment decisions.

However, even though similar incidents involving mainstream coins are relatively rare, the high volatility and high risk characteristics of the crypto market cannot be ignored. Even tokens recognized by the market carry unpredictable risks.

#稳定币 #USD1