Conversation

SBF
@SBF_FTX
10) But they didn't work it aggressively, they kept on hoping it would just go away. That's NOT how a liquidation engine works. A liquidation engine's primary job is to save the insurance fund and other customers, even if that has significant market impact.
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SBF
@SBF_FTX
11) And then, when things were teetering on the edge, with quarterly premiums at -15%....... BitMEX went down for maintenance.
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SBF
@SBF_FTX
12) BTC rallied without the gigantic sell wall of the BitMEX liq. And even more than that--BTC rallied, so fewer people *had* to be liquidated..... Creating a self-fulfilling prophecy. If we could will BTC up above $5k, maybe then it would no longer *need* to go down.
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SBF
@SBF_FTX
13) So why did BitMEX go down for maintenance? And why was their liq engine so aggressiveness today? Was it organic?
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SBF
@SBF_FTX
14) Or did BitMEX realize that they had a choice? They could liquidate BTC down to 0..... Or they could go down for an hour, let BTC rally, release some of the liq pressure, and hopefully catch a positive feedback loop removing the need to ever liq the BTC.
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