Binance Accused of Bitcoin Liquidations Up to $3000 Lower

Peter Brandt questions Binance over an anomaly in the price of bitcoin that, according to his analysis, would have led the asset to $72,500 on that platform, without replicating in the rest of the market. This triggered automatic sales among retail traders. Brandt points out that a sudden drop can activate stop-loss orders, automatically closing positions when a certain price level is reached, even if the market recovers afterward. On August 22, Brandt reported that some bitcoin positions were closed on Binance at prices up to $3000 lower than the minimum on other exchanges. Although there is no independent verification of these claims, some users have reported being victims of this situation. Binance uses a mark price for its futures contracts, calculated from various market sources, which can cause temporary differences with other exchanges. However, this does not prove that the mechanism caused the reported anomaly. This case highlights the risk for retail traders using leverage and automatic orders, where a price deviation can result in real losses.

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