Why do altcoins fall even more sharply? It has almost become a rule in the crypto world: when Bitcoin adjusts, altcoins "dive." The reasons are simple: poor liquidity, many retail investors, and high leverage. Many altcoin markets lack sufficient depth; when large funds withdraw, prices can easily flash crash. Additionally, many people trading altcoins like to use high leverage, and when the market moves in the opposite direction, chain reactions of liquidations can intensify the decline. Today’s over 800 million long positions are mostly bets on altcoin rebounds.

BTC-0,69%

View Original

This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.