📢Blockchain News Flash! According to TradingView data, BCH fell 20% last week, the biggest drop since April. 😱
In his newsletter on Monday, Kaiko pointed out that referring to the BCH price slippage chart simulating a $100,000 sell order, it reached its highest level in more than a month on most exchanges. This shows that liquidity is deteriorating due to insufficient order depth for large market orders. 😰
Slippage refers to the difference between the expected price of a transaction and the actual execution price, and its peaks represent poor market liquidity and/or high volatility. According to Kaiko, on July 5, the day when Mt.Gox announced the repayment, the BCH market slippage on Bybit increased from 0.2% to 2.8%, and on Itbit from 0.3% to 3.5%. 📈
Kaiko said that the poor liquidity "coincides with the strong selling pressure associated with the Mt.Gox repayment event, and the highest increase in slippage was observed on Itbit and Bybit." Arca Chief Investment Officer Jeff Dorman said that market makers have completely disappeared, and the situation is similar to the credit market in 2009-2010. 🔍
Although BCH's performance is worrying, we remain optimistic about Bitcoin's prospects. 💪🚀