OTC Spreads Exceeded 10% Amid Bitcoin’s Violent March Crash
OTC Spreads Exceeded ten% Amongst Bitcoin's Violent March Crash
OTC order book aggregator B2B2 identified Bitcoin spreads of betwixt 5% and 10% during the record crypto market crash of March 12–xiii.
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Over-the-counter (OTC) liquidity provider B2C2 has published a report analyzing the trading spreads exhibited across its Bitcoin (BTC) market and three leading institution-facing spot exchanges throughout March.
The study finds that spreads widened significantly amid the dramatic crash of March 12–13, the largest drib in the toll of Bitcoin since 2022.
Bitcoin order spreads exceed ten% immediately on March 13
As the crash began on March 12, bid-ask spreads for batches of 25 BTC bounced from shut to single-digit basis points to 200 on its platform — equating to roughly 5%.
The report also notes spreads exceeding 10% on one of the top spot exchanges during the March 13.
The assay shows even more extreme volatility for trades on batches of 100 Bitcoins each — with multiple exchanges seeing spreads of 400 basis points or higher throughout the crash.
Retail crypto traders generate record book during the crash
Retail markets also saw spreads between five% and 10% as cascading liquidations drove violent cost swings and hollowed lodge books.
Amid the carnage, March 12–13 saw tape activity from retail traders, with CryptoCompare estimating that 75.ix billion worth of trade took place across the retail-facing spot BTC markets. The report too notes a new record for monthly Bitcoin derivatives trading at $600 billion.
Major cryptocurrency substitution Coinbase reported record-breaking merchandise activity on its retail platform during the drop — with Bitcoin volume increasing to vi-times its monthly average and altcoins increasing by a factor of seven.
The crash too drove record on-chain activity, with Unchained Majuscule'due south 'Hodlwaves' estimating that 3.ix% of circulating supply of 717,340 BTC moved in 24 hours among the crash.
Source: https://cointelegraph.com/news/otc-spreads-exceeded-10-amid-bitcoins-violent-march-crash
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