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Bitcoin is very volatile
08 Sep 2021 (244 views)

Bitcoin reached $53,000 at noon on Sep 7. It crashed to $43,500 at 11 pm. The drop was 18%
A bitcoin futures contract is for 5 bitcoins. A speculator who holds 1 long contract sees a drop of $48,000 USD. A short contract sees a gain of $48,000 USD.
The price of bitcoin closed at $46,500, reducing the loss compared to its low.

Here is the reason for the sharp drop.

El Salvador adopts bitcoin as legal tender.

This is an example of "selling on the news". 


Bitcoin is very volatile
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Bitcoin reached $53,000 at noon on Sep 7. It crashed to $43,500 at 11 pm. The drop was 18%
A bitcoin futures contract is for 5 bitcoins. A speculator who holds 1 long contract sees a drop of $48,000 USD. A short contract sees a gain of $48,000 USD.
The price of bitcoin closed at $46,500, reducing the loss compared to its low.

Here is the reason for the sharp drop.

El Salvador adopts bitcoin as legal tender.

This is an example of "selling on the news".