• Bitcoin (BTC) dropped 3.9% following Kraken’s settlement with the SEC to end staking for U.S. customers.
• Bitcoin saw a realized loss of $200 million and a realized profit of $184 million on Feb. 9.
• The total net realized loss stands at $16.2 million, suggesting liquidations were the main driver of negative price action.
Bitcoin Price Drop Following Kraken Settlement
On February 9th, Bitcoin (BTC) dropped 3.9% in the past 24 hours following Kraken’s settlement with the SEC to end staking for U.S. customers, resulting in a realized loss of $200 million and a realized profit of $184 million on that day. This created a net realized loss of $16.2 million, indicating that liquidations were likely the primary cause for this negative price action in BTC markets.
Net Realized Profit/Loss Definition
The Net Realized Profit/Loss is calculated by taking into account both the Realized Profit and Realized Loss associated with moved coins during any given period of time; this metric is defined as the difference between those two figures mentioned above:
•Realized Profit denotes the total profit (USD value) of all moved coins cheaper before their last movement than the price at the current movement;
•Realized Loss denotes the total loss (USD value) of all moved coins priced higher at their last movement than the price at the current movement.
The net realized profit/loss ratio indicates that liquidations were behind this drop in BTC prices on February 9th, which is not entirely surprising considering that it was only one day after Kraken settled with U.S regulators to end staking services for its American customers—and that such activity often creates market volatility as investors adjust to changing conditions and regulations within crypto markets more broadly speaking..
In conclusion, it appears that regulation-related events can have an impact on cryptocurrency asset prices just like they do in other financial markets—and while these kinds of settlements may create short-term losses, they can also be beneficial over time by helping to promote market stability and improve investor confidence overall..
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