The 312 crash in the cryptocurrency circle: a thrilling historical moment
When we look back at the development of the cryptocurrency circle, March 12, 2020 is undoubtedly an unforgettable day. The crash that occurred on this day made countless investors experience a nightmare baptism.
On March 8, Bitcoin suddenly plummeted from a high of $9,200 to $8,300, a drop of 9.8%; Ethereum was not spared, plummeting from $250 to $210, a drop of 16%. Most of the altcoins were cut in half. However, many investors believe that the decline has ended, and they have entered the market to buy at the bottom, looking forward to the rebound.
On March 9, the market did not turn around as people wished. Bitcoin further plummeted from $8,300 to $7,700, a drop of 7.2%; Ethereum plummeted from $210 to $190, a drop of 9.5%. The sharp decline for two consecutive days made investors realize that the risks may be far beyond expectations, but some people still firmly believe that the price-performance ratio has fallen and continue to buy at the bottom.
On March 10 and 11, the market temporarily stopped the pace of the plunge and entered the stage of shock washing. Many investors are bullish on the future market and began to buy in large quantities.
However, on March 12, the real disaster came. Bitcoin plummeted from $8,000 to $5,500, a drop of 31%; Ethereum plummeted from $200 to $120, a drop of 40%. On this day, the currency circle almost collapsed across the board, and various altcoins fell several times, and all virtual currencies were not spared. The "312 Incident" was thus recorded in the history of the currency circle. On this day, a few investors still fantasized that the market had bottomed out, and some even borrowed money and took out loans to go long in an attempt to make back their investment; but most investors no longer dared to buy at the bottom easily, and even fell into despair, shouting that the end of the currency circle was coming and Bitcoin was about to return to zero.
On March 13, Bitcoin rebounded to $6,200 and then plummeted to $3,800, a drop of 38.7%; Ethereum rebounded to $145 and then fell to $89, a drop of 38.6%. At this point, more than 90% of investors in the cryptocurrency circle are close to collapse. This also warns us again not to blindly increase leverage, especially high leverage. Even if 98 out of 100 operations are successful, as long as the position is liquidated twice, it may be bankrupt.
