Bitcoin Cash Undergoes Second Halving Event, Causes $3.9 Million Liquidation Amid Price Dip
Summary:
The second Bitcoin Cash (BCH) halving event occurred at block 840,000, reducing miners' rewards from 6.25 BCH to 3.125 BCH. Amid significant speculation, Bitcoin Cash's value increased by almost 148% over the past three months, but suffered a dip of 9.94% in the past 24 hours. This drop led to $3.9 million worth of liquidations, mainly impacting long positions. Additionally, open interest in Bitcoin Cash futures perpetual contracts soared, reaching an all-time high of $799.23 million.
The second halving event for Bitcoin Cash (BCH) occurred exactly at 10:45 pm UTC on April 3 when the blockchain reached block height 840,000. With this event, rewards for miners are now halved again from 6.25 BCH to 3.125 BCH. Known as a proof-of-work blockchain network and a cryptocurrency, Bitcoin Cash was created to provide a quicker and less costly alternative to Bitcoin (BTC). The initial halving event for Bitcoin Cash happened on April 8, 2020, causing miner rewards to go down from 12.5 BCH to 6.25 BCH.
In the time leading up to this current halving, there was quite a bit of conjecture, particularly as Bitcoin Cash's value rose by 147.85% over the past three months and 24% within the last 30 days. Regardless, in the last 24 hours, the price dipped by 9.94%. As of now, according to CoinMarketCap data, it is being traded at a value of $572.21.
This recent decrease in price resulted in total liquidations amounting to $3.9 million, majorly affecting long positions worth $3.3 million. On the contrary, short positions accounted for $569,540, as confirmed by CoinGlass data. An amount of $3.3 million was liquidated from Bitcoin Cash long positions in response to this price fall.
On March 29, Cointelegraph mentioned that the open interest (OI) in perpetual contracts of Bitcoin Cash futures achieved a record high of $708.75 million. As of the time of writing, this OI has soared to even greater heights, standing at $799.23 million. This news story is unfolding and will be updated as more details surface.
Published At
4/4/2024 2:02:32 AM
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