{"id":598031,"date":"2024-03-15T12:50:36","date_gmt":"2024-03-15T12:50:36","guid":{"rendered":"https:\/\/uniquehot.com\/?p=598031"},"modified":"2024-06-11T07:56:49","modified_gmt":"2024-06-11T07:56:49","slug":"bitcoin-crash-failed-1-billion-hedge-fund-trade","status":"publish","type":"post","link":"https:\/\/uniquehot.com\/news\/bitcoin-crash-failed-1-billion-hedge-fund-trade\/","title":{"rendered":"Bitcoin Crash Triggered By Failed $1 Billion Hedge Fund Spread Trade: Expert"},"content":{"rendered":"<p>The Bitcoin price has crashed from over $72,000 yesterday to as low as $65,500. As <a href=\"https:\/\/uniquehot.com\/news\/bitcoin\/why-is-bitcoin-price-down-today-3-key-reasons\/\" target=\"_blank\" rel=\"noopener \">reported earlier today<\/a>, there are several obvious reasons for this, such as the liquidation of extensive long positions on the red-hot futures market, expectations of a &#8220;higher for longer&#8221; policy by the US Federal Reserve as a result of hotter than expected inflation data and a relatively weak inflow day for the spot ETFs yesterday.<\/p>\n<h2>Did This Trigger The Bitcoin Crash?<\/h2>\n<p>However, there is also a rumor that reveals yet another hidden reason for the crash: a failed spread trade by a hedge fund that resulted in over a billion dollars in losses. Andrew Kang, the founder of Mechanism Capital, <a href=\"https:\/\/twitter.com\/Rewkang\/status\/81647733\" target=\"_blank\" rel=\"noopener nofollow\">revealed<\/a> on X the intricate details of this debacle.<\/p>\n<p>&#8220;Apparently a fund blew out $1b+ on the MSTR-BTC spread trade today. They covered into the close which is why BTC dumped and <a href=\"https:\/\/uniquehot.com\/news\/bitcoin\/microstrategy-500-million-bitcoin\/\" target=\"_blank\" rel=\"noopener \">MSTR premium<\/a> went to the highs. PNL pocketed by based Saylor and will be put back into BTC.&#8221;<\/p>\n<p>Kang had earlier elucidated the precarious nature of market transitions, citing the downfall of several major players due to flawed delta-neutral strategies. &#8220;You get some really wonky stuff that happens in market trend transitions. Like large delta-neutral funds\/institutions getting blown out on &#8216;risk-free&#8217; spread trades,&#8221; Kang remarked, pointing to past failures of notable firms like <a href=\"https:\/\/uniquehot.com\/ftx\/blockfi-ceos-key-testimony-insights-into-alamedas-financial-stability-in-ftx-trial\/\" target=\"_blank\" rel=\"noopener \">Blockfi<\/a>, DCG, Genesis, Three Arrow Capital and Alameda.<\/p>\n<div class=\"related-reading-shortcode\">Related Reading: <a href=\"https:\/\/uniquehot.com\/news\/bitcoin\/why-is-bitcoin-price-down-today-3-key-reasons\/\" target=\"_blank\" rel=\"noopener \">Why Is Bitcoin Price Down Today? 3 Key Reasons<\/a><\/div>\n<p>MicroStrategy, under the leadership of Michael Saylor, has notably been a leveraged play on Bitcoin, with its substantial holdings often leading to significant interest from short sellers. According to Kang, &#8220;MSTR currently has $3b of short interest &#8211; roughly 20% of its float. I imagine a lot of that float is angry tradfi boomers trying to capture the premium to NAV.&#8221;<\/p>\n<p>The premium discrepancy Kang refers to\u2014surging from 50% pre-ETF to 13% post-ETF, and recently peaking at 70%\u2014illustrates the volatile dynamics at play between MicroStrategy&#8217;s stock value and its underlying Bitcoin holdings.<\/p>\n<h2>Trade Gone Wrong<\/h2>\n<p>Renowned Bitcoin analyst Bit Paine and German crypto analyst Florian Bruce corroborated the narrative, pointing to the unwinding of a significant spread trade as the catalyst for the market movements. \u201cThat dip was because a fund blew up on their MSTR\/BTC short,\u201d Bit Paine <a href=\"https:\/\/twitter.com\/BitPaine\/status\/84399950\" rel=\"nofollow\">remarked<\/a>.<\/p>\n<div class=\"related-reading-shortcode\">Related Reading: <a href=\"https:\/\/uniquehot.com\/news\/bitcoin-miners-brace-for-impact-as-difficulty-reaches-unprecedented-levels\/\" target=\"_blank\" rel=\"noopener \">Bitcoin Miners Brace For Impact As Difficulty Reaches Unprecedented Levels<\/a><\/div>\n<p>Bruce <a href=\"https:\/\/twitter.com\/bruceflorian\/status\/58703122\" target=\"_blank\" rel=\"noopener nofollow\">provided<\/a> a clear exposition of the strategy gone awry: &#8220;A hedge fund set up a spread trade shortly before the ETF approval: Long BTC &amp; Short MSTR. The idea behind it was that MSTR will fall through the ETF while BTC rises.&#8221; This explanation lays bare the hedge fund&#8217;s miscalculation, as the actual market response saw MSTR outperformed Bitcoin, necessitating a rapid unwinding of positions that contributed to Bitcoin&#8217;s sharp price decline.<\/p>\n<p>\u201cBTC was sold and the shorts on MSTR were closed (MSTR bought). This is probably also the reason why MSTR has just had a small mini rally and is doing less badly than other BTC ETFs. Enjoy the dip. I don&#8217;t think it will last long,\u201d Bruce stated.<\/p>\n<p>The supposed hedge fund in question, North Rock Digital, had previously outlined its contrarian strategy on X, expressing skepticism towards the valuation of crypto equities in the lead-up to ETF approvals.<\/p>\n<p>\u201cThe contrarian idea [&#8230;] was to short crypto equities vs long spot crypto. In our view, as we approach the ETF, crypto equities have been being used as proxies for spot exposure [&#8230;] once the ETF becomes available we expect this flow to reverse as many of these holders rotate exposure into the ETF. Given the dislocated nature of many of these names (MSTR, MARA and COIN are our three favorite shorts), we believe there are several attractive shorts to pair against long spot exposure,\u201d North Rock Digital stated in January.<\/p>\n<p>At press time, BTC traded at $67,588.<\/p>\n<figure id=\"attachment_598034\" aria-describedby=\"caption-attachment-598034\" style=\"width: 3628px\" class=\"wp-caption aligncenter\"><img data-recalc-dims=\"1\" loading=\"lazy\" decoding=\"async\" class=\"wp-image-598034 size-full\" src=\"https:\/\/uniquehot.com\/wp-content\/uploads\/2024\/03\/BTCUSD_2024-03-15_13-22-19.png?resize=3628%2C1673\" alt=\"Bitcoin price\" width=\"3628\" height=\"1673\" srcset=\"https:\/\/uniquehot.com\/wp-content\/uploads\/2024\/03\/BTCUSD_2024-03-15_13-22-19.png?w=3628 3628w, https:\/\/uniquehot.com\/wp-content\/uploads\/2024\/03\/BTCUSD_2024-03-15_13-22-19.png?w=460 460w, https:\/\/uniquehot.com\/wp-content\/uploads\/2024\/03\/BTCUSD_2024-03-15_13-22-19.png?w=768 768w, https:\/\/uniquehot.com\/wp-content\/uploads\/2024\/03\/BTCUSD_2024-03-15_13-22-19.png?w=860 860w, https:\/\/uniquehot.com\/wp-content\/uploads\/2024\/03\/BTCUSD_2024-03-15_13-22-19.png?w=1536 1536w, https:\/\/uniquehot.com\/wp-content\/uploads\/2024\/03\/BTCUSD_2024-03-15_13-22-19.png?w=2048 2048w, https:\/\/uniquehot.com\/wp-content\/uploads\/2024\/03\/BTCUSD_2024-03-15_13-22-19.png?w=750 750w, https:\/\/uniquehot.com\/wp-content\/uploads\/2024\/03\/BTCUSD_2024-03-15_13-22-19.png?w=1140 1140w, https:\/\/uniquehot.com\/wp-content\/uploads\/2024\/03\/BTCUSD_2024-03-15_13-22-19.png?w=3000 3000w\" sizes=\"(max-width: 1000px) 100vw, 1000px\"><figcaption id=\"caption-attachment-598034\" class=\"wp-caption-text\">BTC price, 4-hour chart | Source: <a href=\"https:\/\/www.tradingview.com\/x\/5jOUZavH\/\" target=\"_blank\" rel=\"noopener nofollow\">BTCUSD on TradingView.com<\/a><\/figcaption><\/figure>\n<div class=\"disclaimer-shortcode\">Featured image created with DALL\u00b7E, chart from TradingView.com<\/div>\n","protected":false},"excerpt":{"rendered":"<p>The Bitcoin price has crashed from over $72,000 yesterday to as low as $65,500. As reported earlier today, there are several obvious reasons for this, such as the liquidation of extensive long positions on the red-hot futures market, expectations of a &#8220;higher for longer&#8221; policy by the US Federal Reserve as a result of hotter than expected inflation data and a relatively weak inflow day for the spot ETFs yesterday. Did This Trigger The Bitcoin Crash? However, there is also a rumor that reveals yet another hidden reason for the crash: a failed spread trade by a hedge fund that resulted in over a billion dollars in losses. Andrew Kang, the founder of Mechanism Capital, revealed on X the intricate details of this debacle. &#8220;Apparently a fund blew out $1b+ on the MSTR-BTC spread trade today. They covered into the close which is why BTC dumped and MSTR premium went to the highs. PNL pocketed by based Saylor and will be put back into BTC.&#8221; Kang had earlier elucidated the precarious nature of market transitions, citing the downfall of several major players due to flawed delta-neutral strategies. &#8220;You get some really wonky stuff that happens in market trend transitions. Like large delta-neutral funds\/institutions getting blown out on &#8216;risk-free&#8217; spread trades,&#8221; Kang remarked, pointing to past failures of notable firms like Blockfi, DCG, Genesis, Three Arrow Capital and Alameda. Related Reading: Why Is Bitcoin Price Down Today? 3 Key Reasons MicroStrategy, under the leadership of Michael Saylor, has notably been a leveraged play on Bitcoin, with its substantial holdings often leading to significant interest from short sellers. According to Kang, &#8220;MSTR currently has $3b of short interest &#8211; roughly 20% of its float. I imagine a lot of that float is angry tradfi boomers trying to capture the premium to NAV.&#8221; The premium discrepancy Kang refers to\u2014surging from 50% pre-ETF to 13% post-ETF, and recently peaking at 70%\u2014illustrates the volatile dynamics at play between MicroStrategy&#8217;s stock value and its underlying Bitcoin holdings. Trade Gone Wrong Renowned Bitcoin analyst Bit Paine and German crypto analyst Florian Bruce corroborated the narrative, pointing to the unwinding of a significant spread trade as the catalyst for the market movements. \u201cThat dip was because a fund blew up on their MSTR\/BTC short,\u201d Bit Paine remarked. Related Reading: Bitcoin Miners Brace For Impact As Difficulty Reaches Unprecedented Levels Bruce provided a clear exposition of the strategy gone awry: &#8220;A hedge fund set up a spread trade shortly before the ETF approval: Long BTC &amp; Short MSTR. The idea behind it was that MSTR will fall through the ETF while BTC rises.&#8221; This explanation lays bare the hedge fund&#8217;s miscalculation, as the actual market response saw MSTR outperformed Bitcoin, necessitating a rapid unwinding of positions that contributed to Bitcoin&#8217;s sharp price decline. \u201cBTC was sold and the shorts on MSTR were closed (MSTR bought). This is probably also the reason why MSTR has just had a small mini rally and is doing less badly than other BTC ETFs. Enjoy the dip. I don&#8217;t think it will last long,\u201d Bruce stated. The supposed hedge fund in question, North Rock Digital, had previously outlined its contrarian strategy on X, expressing skepticism towards the valuation of crypto equities in the lead-up to ETF approvals. \u201cThe contrarian idea [&#8230;] was to short crypto equities vs long spot crypto. In our view, as we approach the ETF, crypto equities have been being used as proxies for spot exposure [&#8230;] once the ETF becomes available we expect this flow to reverse as many of these holders rotate exposure into the ETF. Given the dislocated nature of many of these names (MSTR, MARA and COIN are our three favorite shorts), we believe there are several attractive shorts to pair against long spot exposure,\u201d North Rock Digital stated in January. At press time, BTC traded at $67,588. Featured image created with DALL\u00b7E, chart from TradingView.com<\/p>\n","protected":false},"author":571,"featured_media":598035,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[3],"tags":[428,506,656,679,1119,1122],"class_list":["post-598031","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news","tag-bitcoin","tag-bitcoin-crash","tag-bitcoin-news","tag-bitcoin-price","tag-btc","tag-btc-price"],"acf":[],"yoast_head":"\n<title>Bitcoin Crash Triggered By Failed $1B Hedge Fund Trade: Expert<\/title>\n<meta name=\"description\" content=\"The Bitcoin price has crashed from over $72,000 yesterday to as low as $65,500. Was a failed spread trade by a hedge fund the reason?\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/uniquehot.com\/news\/bitcoin-crash-failed-1-billion-hedge-fund-trade\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Bitcoin Crash Triggered By Failed $1B Hedge Fund Trade: Expert\" \/>\n<meta property=\"og:description\" content=\"The Bitcoin price has crashed from over $72,000 yesterday to as low as $65,500. Was a failed spread trade by a hedge fund the reason?\" \/>\n<meta property=\"og:url\" content=\"https:\/\/uniquehot.com\/news\/bitcoin-crash-failed-1-billion-hedge-fund-trade\/\" \/>\n<meta property=\"og:site_name\" content=\"NewsBTC\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/newsbtc\" \/>\n<meta property=\"article:published_time\" content=\"2024-03-15T12:50:36+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2024-06-11T07:56:49+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/uniquehot.com\/wp-content\/uploads\/2024\/03\/DALL\u00b7E-2024-03-15-12.55.15-A-dramatic-and-visually-striking-image-representing-a-Bitcoin-crash-for-a-news-report-designed-in-a-wide-format.-The-scene-unfolds-under-a-dark-omin.jpg?fit=1792%2C1024\" \/>\n\t<meta property=\"og:image:width\" content=\"1792\" \/>\n\t<meta property=\"og:image:height\" content=\"1024\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"Jake Simmons\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:creator\" content=\"@https:\/\/twitter.com\/realJakeSimmons\" \/>\n<meta name=\"twitter:site\" content=\"@newsbtc\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Jake Simmons\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"4 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"NewsArticle\",\"@id\":\"https:\/\/uniquehot.com\/news\/bitcoin-crash-failed-1-billion-hedge-fund-trade\/#article\",\"isPartOf\":{\"@id\":\"https:\/\/uniquehot.com\/news\/bitcoin-crash-failed-1-billion-hedge-fund-trade\/\"},\"author\":{\"name\":\"Jake Simmons\",\"@id\":\"https:\/\/uniquehot.com\/#\/schema\/person\/d4fcdbfaec61dd668092ba3f4d318028\"},\"headline\":\"Bitcoin Crash Triggered By Failed $1 Billion Hedge Fund Spread Trade: Expert\",\"datePublished\":\"2024-03-15T12:50:36+00:00\",\"dateModified\":\"2024-06-11T07:56:49+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\/\/uniquehot.com\/news\/bitcoin-crash-failed-1-billion-hedge-fund-trade\/\"},\"wordCount\":676,\"publisher\":{\"@id\":\"https:\/\/uniquehot.com\/#organization\"},\"image\":{\"@id\":\"https:\/\/uniquehot.com\/news\/bitcoin-crash-failed-1-billion-hedge-fund-trade\/#primaryimage\"},\"thumbnailUrl\":\"https:\/\/uniquehot.com\/wp-content\/uploads\/2024\/03\/DALL\u00b7E-2024-03-15-12.55.15-A-dramatic-and-visually-striking-image-representing-a-Bitcoin-crash-for-a-news-report-designed-in-a-wide-format.-The-scene-unfolds-under-a-dark-omin.jpg?fit=1792%2C1024\",\"keywords\":[\"bitcoin\",\"bitcoin crash\",\"Bitcoin news\",\"bitcoin price\",\"btc\",\"btc price\"],\"articleSection\":[\"Cryptocurrency Market News\"],\"inLanguage\":\"en-US\",\"copyrightYear\":\"2024\",\"copyrightHolder\":{\"@id\":\"https:\/\/uniquehot.com\/#organization\"}},{\"@type\":\"WebPage\",\"@id\":\"https:\/\/uniquehot.com\/news\/bitcoin-crash-failed-1-billion-hedge-fund-trade\/\",\"url\":\"https:\/\/uniquehot.com\/news\/bitcoin-crash-failed-1-billion-hedge-fund-trade\/\",\"name\":\"Bitcoin Crash Triggered By Failed $1B Hedge Fund Trade: Expert\",\"isPartOf\":{\"@id\":\"https:\/\/uniquehot.com\/#website\"},\"primaryImageOfPage\":{\"@id\":\"https:\/\/uniquehot.com\/news\/bitcoin-crash-failed-1-billion-hedge-fund-trade\/#primaryimage\"},\"image\":{\"@id\":\"https:\/\/uniquehot.com\/news\/bitcoin-crash-failed-1-billion-hedge-fund-trade\/#primaryimage\"},\"thumbnailUrl\":\"https:\/\/uniquehot.com\/wp-content\/uploads\/2024\/03\/DALL\u00b7E-2024-03-15-12.55.15-A-dramatic-and-visually-striking-image-representing-a-Bitcoin-crash-for-a-news-report-designed-in-a-wide-format.-The-scene-unfolds-under-a-dark-omin.jpg?fit=1792%2C1024\",\"datePublished\":\"2024-03-15T12:50:36+00:00\",\"dateModified\":\"2024-06-11T07:56:49+00:00\",\"description\":\"The Bitcoin price has crashed from over $72,000 yesterday to as low as $65,500. Was a failed spread trade by a hedge fund the reason?\",\"breadcrumb\":{\"@id\":\"https:\/\/uniquehot.com\/news\/bitcoin-crash-failed-1-billion-hedge-fund-trade\/#breadcrumb\"},\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\/\/uniquehot.com\/news\/bitcoin-crash-failed-1-billion-hedge-fund-trade\/\"]}]},{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/uniquehot.com\/news\/bitcoin-crash-failed-1-billion-hedge-fund-trade\/#primaryimage\",\"url\":\"https:\/\/uniquehot.com\/wp-content\/uploads\/2024\/03\/DALL\u00b7E-2024-03-15-12.55.15-A-dramatic-and-visually-striking-image-representing-a-Bitcoin-crash-for-a-news-report-designed-in-a-wide-format.-The-scene-unfolds-under-a-dark-omin.jpg?fit=1792%2C1024\",\"contentUrl\":\"https:\/\/uniquehot.com\/wp-content\/uploads\/2024\/03\/DALL\u00b7E-2024-03-15-12.55.15-A-dramatic-and-visually-striking-image-representing-a-Bitcoin-crash-for-a-news-report-designed-in-a-wide-format.-The-scene-unfolds-under-a-dark-omin.jpg?fit=1792%2C1024\",\"width\":1792,\"height\":1024,\"caption\":\"Bitcoin crash\"},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\/\/uniquehot.com\/news\/bitcoin-crash-failed-1-billion-hedge-fund-trade\/#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Home\",\"item\":\"https:\/\/uniquehot.com\/\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"Bitcoin Crash Triggered By Failed $1 Billion Hedge Fund Spread Trade: Expert\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\/\/uniquehot.com\/#website\",\"url\":\"https:\/\/uniquehot.com\/\",\"name\":\"NewsBTC\",\"description\":\"Bitcoin &amp; Cryptocurrency News Today\",\"publisher\":{\"@id\":\"https:\/\/uniquehot.com\/#organization\"},\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\/\/uniquehot.com\/?s={search_term_string}\"},\"query-input\":{\"@type\":\"PropertyValueSpecification\",\"valueRequired\":true,\"valueName\":\"search_term_string\"}}],\"inLanguage\":\"en-US\"},{\"@type\":\"Organization\",\"@id\":\"https:\/\/uniquehot.com\/#organization\",\"name\":\"NewsBTC\",\"url\":\"https:\/\/uniquehot.com\/\",\"logo\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/uniquehot.com\/#\/schema\/logo\/image\/\",\"url\":\"https:\/\/uniquehot.com\/wp-content\/uploads\/2020\/06\/logo-min.png?fit=157%2C46\",\"contentUrl\":\"https:\/\/uniquehot.com\/wp-content\/uploads\/2020\/06\/logo-min.png?fit=157%2C46\",\"width\":157,\"height\":46,\"caption\":\"NewsBTC\"},\"image\":{\"@id\":\"https:\/\/uniquehot.com\/#\/schema\/logo\/image\/\"},\"sameAs\":[\"https:\/\/www.facebook.com\/newsbtc\",\"https:\/\/x.com\/newsbtc\",\"https:\/\/www.youtube.com\/channel\/UC9v9erBEru5y4c3FA0wehEw\"]},{\"@type\":\"Person\",\"@id\":\"https:\/\/uniquehot.com\/#\/schema\/person\/d4fcdbfaec61dd668092ba3f4d318028\",\"name\":\"Jake Simmons\",\"image\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/uniquehot.com\/#\/schema\/person\/image\/\",\"url\":\"https:\/\/secure.gravatar.com\/avatar\/b1c6e6bccf4fbe757cbc0396eeac0abf?s=96&d=mm&r=g\",\"contentUrl\":\"https:\/\/secure.gravatar.com\/avatar\/b1c6e6bccf4fbe757cbc0396eeac0abf?s=96&d=mm&r=g\",\"caption\":\"Jake Simmons\"},\"description\":\"Jake Simmons, a dedicated crypto journalist, has been passionate about Bitcoin since 2016 when he first learned about it. Through his extensive work with uniquehot.com and Bitcoinist.com, Jake has become a trusted voice in the crypto community, guiding newcomers and seasoned enthusiasts alike towards a deeper understanding of this dynamic field. His mission is simple yet profound: to demystify Bitcoin and cryptocurrencies and make them accessible to everyone. With a professional career in the Bitcoin and crypto scene that began right after graduating with a degree in Information Systems in 2017, Jake has immersed himself in the industry. Jake joined the NewsBTC Group in late 2022. His educational background provides him with the technical prowess and analytical skills necessary to dissect complex topics and present them in an understandable format. Whether you are a casual reader curious about Bitcoin or an investor seeking to navigate the latest market trends, Jake\u2019s insights offer valuable perspectives that bridge the gap between complex technology and everyday usage. Jake is not just a reporter on technological trends; he is a firm believer in the transformative potential of Bitcoin over traditional fiat currencies. To him, the current financial system is on the brink of chaos, propelled by unchecked government actions and flawed Keynesian economic policies. Drawing from the principles of the Austrian school of economics, Jake views Bitcoin not merely as a digital asset but as a crucial step towards rectifying a failing monetary system. His libertarian views reinforce his stance that just as the church was separated from the state, so too should money be freed from governmental control. For Jake, Bitcoin represents more than just an investment; it's a peaceful revolution. He envisions a future where Bitcoin fosters a sustainable and responsible financial framework for generations to come. His advocacy is not about opposition but about evolution, about laying the groundwork for a system that prioritizes transparency and equity over secrecy and inequality. As a journalist, Jake\u2019s articles are crafted with the precision of a scholar and the passion of a true believer. He provides not only news but also thoughtful analysis that connects the dots between daily developments and larger economic theories. His work is a beacon for those lost in the technical jargon often associated with crypto discussions, illuminating the practical implications and benefits of these technologies. In summary, Jake Simmons is not just reporting on a revolution; he wants to be part of it, fully committed to enhancing public understanding and adoption of Bitcoin and cryptocurrencies. His work is more than just a collection of articles; it\u2019s a resource, a guide, and a companion for anyone ready to explore the potential of this digital frontier. Whether you are taking your first steps into crypto or are a veteran looking to stay on top of the latest trends, Jake\u2019s insights provide clarity and foresight in an often unpredictable industry. Join him on this journey to reshape the world of finance, one post at a time. You can engage with his latest takes on Twitter: @realJakeSimmons.\",\"sameAs\":[\"https:\/\/x.com\/https:\/\/twitter.com\/realJakeSimmons\"],\"url\":\"https:\/\/uniquehot.com\/author\/marcusmisiak\/\"}]}<\/script>\n","yoast_head_json":{"title":"Bitcoin Crash Triggered By Failed $1B Hedge Fund Trade: Expert","description":"The Bitcoin price has crashed from over $72,000 yesterday to as low as $65,500. Was a failed spread trade by a hedge fund the reason?","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/uniquehot.com\/news\/bitcoin-crash-failed-1-billion-hedge-fund-trade\/","og_locale":"en_US","og_type":"article","og_title":"Bitcoin Crash Triggered By Failed $1B Hedge Fund Trade: Expert","og_description":"The Bitcoin price has crashed from over $72,000 yesterday to as low as $65,500. Was a failed spread trade by a hedge fund the reason?","og_url":"https:\/\/uniquehot.com\/news\/bitcoin-crash-failed-1-billion-hedge-fund-trade\/","og_site_name":"NewsBTC","article_publisher":"https:\/\/www.facebook.com\/newsbtc","article_published_time":"2024-03-15T12:50:36+00:00","article_modified_time":"2024-06-11T07:56:49+00:00","og_image":[{"width":1792,"height":1024,"url":"https:\/\/uniquehot.com\/wp-content\/uploads\/2024\/03\/DALL\u00b7E-2024-03-15-12.55.15-A-dramatic-and-visually-striking-image-representing-a-Bitcoin-crash-for-a-news-report-designed-in-a-wide-format.-The-scene-unfolds-under-a-dark-omin.jpg?fit=1792%2C1024","type":"image\/jpeg"}],"author":"Jake Simmons","twitter_card":"summary_large_image","twitter_creator":"@https:\/\/twitter.com\/realJakeSimmons","twitter_site":"@newsbtc","twitter_misc":{"Written by":"Jake Simmons","Est. reading time":"4 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"NewsArticle","@id":"https:\/\/uniquehot.com\/news\/bitcoin-crash-failed-1-billion-hedge-fund-trade\/#article","isPartOf":{"@id":"https:\/\/uniquehot.com\/news\/bitcoin-crash-failed-1-billion-hedge-fund-trade\/"},"author":{"name":"Jake Simmons","@id":"https:\/\/uniquehot.com\/#\/schema\/person\/d4fcdbfaec61dd668092ba3f4d318028"},"headline":"Bitcoin Crash Triggered By Failed $1 Billion Hedge Fund Spread Trade: Expert","datePublished":"2024-03-15T12:50:36+00:00","dateModified":"2024-06-11T07:56:49+00:00","mainEntityOfPage":{"@id":"https:\/\/uniquehot.com\/news\/bitcoin-crash-failed-1-billion-hedge-fund-trade\/"},"wordCount":676,"publisher":{"@id":"https:\/\/uniquehot.com\/#organization"},"image":{"@id":"https:\/\/uniquehot.com\/news\/bitcoin-crash-failed-1-billion-hedge-fund-trade\/#primaryimage"},"thumbnailUrl":"https:\/\/uniquehot.com\/wp-content\/uploads\/2024\/03\/DALL\u00b7E-2024-03-15-12.55.15-A-dramatic-and-visually-striking-image-representing-a-Bitcoin-crash-for-a-news-report-designed-in-a-wide-format.-The-scene-unfolds-under-a-dark-omin.jpg?fit=1792%2C1024","keywords":["bitcoin","bitcoin crash","Bitcoin news","bitcoin price","btc","btc price"],"articleSection":["Cryptocurrency Market News"],"inLanguage":"en-US","copyrightYear":"2024","copyrightHolder":{"@id":"https:\/\/uniquehot.com\/#organization"}},{"@type":"WebPage","@id":"https:\/\/uniquehot.com\/news\/bitcoin-crash-failed-1-billion-hedge-fund-trade\/","url":"https:\/\/uniquehot.com\/news\/bitcoin-crash-failed-1-billion-hedge-fund-trade\/","name":"Bitcoin Crash Triggered By Failed $1B Hedge Fund Trade: Expert","isPartOf":{"@id":"https:\/\/uniquehot.com\/#website"},"primaryImageOfPage":{"@id":"https:\/\/uniquehot.com\/news\/bitcoin-crash-failed-1-billion-hedge-fund-trade\/#primaryimage"},"image":{"@id":"https:\/\/uniquehot.com\/news\/bitcoin-crash-failed-1-billion-hedge-fund-trade\/#primaryimage"},"thumbnailUrl":"https:\/\/uniquehot.com\/wp-content\/uploads\/2024\/03\/DALL\u00b7E-2024-03-15-12.55.15-A-dramatic-and-visually-striking-image-representing-a-Bitcoin-crash-for-a-news-report-designed-in-a-wide-format.-The-scene-unfolds-under-a-dark-omin.jpg?fit=1792%2C1024","datePublished":"2024-03-15T12:50:36+00:00","dateModified":"2024-06-11T07:56:49+00:00","description":"The Bitcoin price has crashed from over $72,000 yesterday to as low as $65,500. Was a failed spread trade by a hedge fund the reason?","breadcrumb":{"@id":"https:\/\/uniquehot.com\/news\/bitcoin-crash-failed-1-billion-hedge-fund-trade\/#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/uniquehot.com\/news\/bitcoin-crash-failed-1-billion-hedge-fund-trade\/"]}]},{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/uniquehot.com\/news\/bitcoin-crash-failed-1-billion-hedge-fund-trade\/#primaryimage","url":"https:\/\/uniquehot.com\/wp-content\/uploads\/2024\/03\/DALL\u00b7E-2024-03-15-12.55.15-A-dramatic-and-visually-striking-image-representing-a-Bitcoin-crash-for-a-news-report-designed-in-a-wide-format.-The-scene-unfolds-under-a-dark-omin.jpg?fit=1792%2C1024","contentUrl":"https:\/\/uniquehot.com\/wp-content\/uploads\/2024\/03\/DALL\u00b7E-2024-03-15-12.55.15-A-dramatic-and-visually-striking-image-representing-a-Bitcoin-crash-for-a-news-report-designed-in-a-wide-format.-The-scene-unfolds-under-a-dark-omin.jpg?fit=1792%2C1024","width":1792,"height":1024,"caption":"Bitcoin crash"},{"@type":"BreadcrumbList","@id":"https:\/\/uniquehot.com\/news\/bitcoin-crash-failed-1-billion-hedge-fund-trade\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/uniquehot.com\/"},{"@type":"ListItem","position":2,"name":"Bitcoin Crash Triggered By Failed $1 Billion Hedge Fund Spread Trade: Expert"}]},{"@type":"WebSite","@id":"https:\/\/uniquehot.com\/#website","url":"https:\/\/uniquehot.com\/","name":"NewsBTC","description":"Bitcoin &amp; Cryptocurrency News Today","publisher":{"@id":"https:\/\/uniquehot.com\/#organization"},"potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/uniquehot.com\/?s={search_term_string}"},"query-input":{"@type":"PropertyValueSpecification","valueRequired":true,"valueName":"search_term_string"}}],"inLanguage":"en-US"},{"@type":"Organization","@id":"https:\/\/uniquehot.com\/#organization","name":"NewsBTC","url":"https:\/\/uniquehot.com\/","logo":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/uniquehot.com\/#\/schema\/logo\/image\/","url":"https:\/\/uniquehot.com\/wp-content\/uploads\/2020\/06\/logo-min.png?fit=157%2C46","contentUrl":"https:\/\/uniquehot.com\/wp-content\/uploads\/2020\/06\/logo-min.png?fit=157%2C46","width":157,"height":46,"caption":"NewsBTC"},"image":{"@id":"https:\/\/uniquehot.com\/#\/schema\/logo\/image\/"},"sameAs":["https:\/\/www.facebook.com\/newsbtc","https:\/\/x.com\/newsbtc","https:\/\/www.youtube.com\/channel\/UC9v9erBEru5y4c3FA0wehEw"]},{"@type":"Person","@id":"https:\/\/uniquehot.com\/#\/schema\/person\/d4fcdbfaec61dd668092ba3f4d318028","name":"Jake Simmons","image":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/uniquehot.com\/#\/schema\/person\/image\/","url":"https:\/\/secure.gravatar.com\/avatar\/b1c6e6bccf4fbe757cbc0396eeac0abf?s=96&d=mm&r=g","contentUrl":"https:\/\/secure.gravatar.com\/avatar\/b1c6e6bccf4fbe757cbc0396eeac0abf?s=96&d=mm&r=g","caption":"Jake Simmons"},"description":"Jake Simmons, a dedicated crypto journalist, has been passionate about Bitcoin since 2016 when he first learned about it. Through his extensive work with uniquehot.com and Bitcoinist.com, Jake has become a trusted voice in the crypto community, guiding newcomers and seasoned enthusiasts alike towards a deeper understanding of this dynamic field. His mission is simple yet profound: to demystify Bitcoin and cryptocurrencies and make them accessible to everyone. With a professional career in the Bitcoin and crypto scene that began right after graduating with a degree in Information Systems in 2017, Jake has immersed himself in the industry. Jake joined the NewsBTC Group in late 2022. His educational background provides him with the technical prowess and analytical skills necessary to dissect complex topics and present them in an understandable format. Whether you are a casual reader curious about Bitcoin or an investor seeking to navigate the latest market trends, Jake\u2019s insights offer valuable perspectives that bridge the gap between complex technology and everyday usage. Jake is not just a reporter on technological trends; he is a firm believer in the transformative potential of Bitcoin over traditional fiat currencies. To him, the current financial system is on the brink of chaos, propelled by unchecked government actions and flawed Keynesian economic policies. Drawing from the principles of the Austrian school of economics, Jake views Bitcoin not merely as a digital asset but as a crucial step towards rectifying a failing monetary system. His libertarian views reinforce his stance that just as the church was separated from the state, so too should money be freed from governmental control. For Jake, Bitcoin represents more than just an investment; it's a peaceful revolution. He envisions a future where Bitcoin fosters a sustainable and responsible financial framework for generations to come. His advocacy is not about opposition but about evolution, about laying the groundwork for a system that prioritizes transparency and equity over secrecy and inequality. As a journalist, Jake\u2019s articles are crafted with the precision of a scholar and the passion of a true believer. He provides not only news but also thoughtful analysis that connects the dots between daily developments and larger economic theories. His work is a beacon for those lost in the technical jargon often associated with crypto discussions, illuminating the practical implications and benefits of these technologies. In summary, Jake Simmons is not just reporting on a revolution; he wants to be part of it, fully committed to enhancing public understanding and adoption of Bitcoin and cryptocurrencies. His work is more than just a collection of articles; it\u2019s a resource, a guide, and a companion for anyone ready to explore the potential of this digital frontier. Whether you are taking your first steps into crypto or are a veteran looking to stay on top of the latest trends, Jake\u2019s insights provide clarity and foresight in an often unpredictable industry. Join him on this journey to reshape the world of finance, one post at a time. You can engage with his latest takes on Twitter: @realJakeSimmons.","sameAs":["https:\/\/x.com\/https:\/\/twitter.com\/realJakeSimmons"],"url":"https:\/\/uniquehot.com\/author\/marcusmisiak\/"}]}},"parsely":{"version":"1.1.0","meta":{"@context":"https:\/\/schema.org","@type":"NewsArticle","headline":"Bitcoin Crash Triggered By Failed $1 Billion Hedge Fund Spread Trade: Expert","url":"http:\/\/uniquehot.com\/news\/bitcoin-crash-failed-1-billion-hedge-fund-trade\/","mainEntityOfPage":{"@type":"WebPage","@id":"http:\/\/uniquehot.com\/news\/bitcoin-crash-failed-1-billion-hedge-fund-trade\/"},"thumbnailUrl":"https:\/\/uniquehot.com\/wp-content\/uploads\/2024\/03\/DALL\u00b7E-2024-03-15-12.55.15-A-dramatic-and-visually-striking-image-representing-a-Bitcoin-crash-for-a-news-report-designed-in-a-wide-format.-The-scene-unfolds-under-a-dark-omin.jpg?resize=200%2C200","image":{"@type":"ImageObject","url":"https:\/\/uniquehot.com\/wp-content\/uploads\/2024\/03\/DALL\u00b7E-2024-03-15-12.55.15-A-dramatic-and-visually-striking-image-representing-a-Bitcoin-crash-for-a-news-report-designed-in-a-wide-format.-The-scene-unfolds-under-a-dark-omin.jpg?fit=1792%2C1024"},"articleSection":"Cryptocurrency Market News","author":[{"@type":"Person","name":"Jake Simmons"}],"creator":["Jake Simmons"],"publisher":{"@type":"Organization","name":"NewsBTC","logo":"https:\/\/uniquehot.com\/wp-content\/uploads\/2020\/06\/cropped-cropped-cropped-favicon.png?w=32"},"keywords":["bitcoin","bitcoin crash","bitcoin news","bitcoin price","btc","btc price"],"dateCreated":"2024-03-15T12:50:36Z","datePublished":"2024-03-15T12:50:36Z","dateModified":"2024-06-11T07:56:49Z"},"rendered":"<script type=\"application\/ld+json\">{\"@context\":\"https:\\\/\\\/schema.org\",\"@type\":\"NewsArticle\",\"headline\":\"Bitcoin Crash Triggered By Failed $1 Billion Hedge Fund Spread Trade: Expert\",\"url\":\"http:\\\/\\\/uniquehot.com\\\/news\\\/bitcoin-crash-failed-1-billion-hedge-fund-trade\\\/\",\"mainEntityOfPage\":{\"@type\":\"WebPage\",\"@id\":\"http:\\\/\\\/uniquehot.com\\\/news\\\/bitcoin-crash-failed-1-billion-hedge-fund-trade\\\/\"},\"thumbnailUrl\":\"https:\\\/\\\/uniquehot.com\\\/wp-content\\\/uploads\\\/2024\\\/03\\\/DALL\\u00b7E-2024-03-15-12.55.15-A-dramatic-and-visually-striking-image-representing-a-Bitcoin-crash-for-a-news-report-designed-in-a-wide-format.-The-scene-unfolds-under-a-dark-omin.jpg?resize=200%2C200\",\"image\":{\"@type\":\"ImageObject\",\"url\":\"https:\\\/\\\/uniquehot.com\\\/wp-content\\\/uploads\\\/2024\\\/03\\\/DALL\\u00b7E-2024-03-15-12.55.15-A-dramatic-and-visually-striking-image-representing-a-Bitcoin-crash-for-a-news-report-designed-in-a-wide-format.-The-scene-unfolds-under-a-dark-omin.jpg?fit=1792%2C1024\"},\"articleSection\":\"Cryptocurrency Market News\",\"author\":[{\"@type\":\"Person\",\"name\":\"Jake Simmons\"}],\"creator\":[\"Jake Simmons\"],\"publisher\":{\"@type\":\"Organization\",\"name\":\"NewsBTC\",\"logo\":\"https:\\\/\\\/uniquehot.com\\\/wp-content\\\/uploads\\\/2020\\\/06\\\/cropped-cropped-cropped-favicon.png?w=32\"},\"keywords\":[\"bitcoin\",\"bitcoin crash\",\"bitcoin news\",\"bitcoin price\",\"btc\",\"btc price\"],\"dateCreated\":\"2024-03-15T12:50:36Z\",\"datePublished\":\"2024-03-15T12:50:36Z\",\"dateModified\":\"2024-06-11T07:56:49Z\"}<\/script>","tracker_url":"https:\/\/cdn.parsely.com\/keys\/uniquehot.com\/p.js"},"jetpack_sharing_enabled":true,"jetpack_featured_media_url":"https:\/\/uniquehot.com\/wp-content\/uploads\/2024\/03\/DALL\u00b7E-2024-03-15-12.55.15-A-dramatic-and-visually-striking-image-representing-a-Bitcoin-crash-for-a-news-report-designed-in-a-wide-format.-The-scene-unfolds-under-a-dark-omin.jpg?fit=1792%2C1024","amp_enabled":true,"_links":{"self":[{"href":"https:\/\/uniquehot.com\/wp-json\/wp\/v2\/posts\/598031"}],"collection":[{"href":"https:\/\/uniquehot.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/uniquehot.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/uniquehot.com\/wp-json\/wp\/v2\/users\/571"}],"replies":[{"embeddable":true,"href":"https:\/\/uniquehot.com\/wp-json\/wp\/v2\/comments?post=598031"}],"version-history":[{"count":0,"href":"https:\/\/uniquehot.com\/wp-json\/wp\/v2\/posts\/598031\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/uniquehot.com\/wp-json\/wp\/v2\/media\/598035"}],"wp:attachment":[{"href":"https:\/\/uniquehot.com\/wp-json\/wp\/v2\/media?parent=598031"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/uniquehot.com\/wp-json\/wp\/v2\/categories?post=598031"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/uniquehot.com\/wp-json\/wp\/v2\/tags?post=598031"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}