⬜A brief crash of Bitcoin against the new stablecoin USD1 to $24,000 on Catholic Christmas Eve was triggered by an action taken by Binance, according to the director of Solv Protocol, known under the pseudonym Catherine is Solving. The exchange offered yields of up to 20% per annum for locking USD1, prompting a массов conversion of BTC into the stablecoin and a cascade of market sell orders amid low liquidity.
⬜Within a minute, the BTC/USD1 price rebounded to $87,000, allowing fast traders to lock in profits. The drop coincided with USD1’s market capitalization surpassing $3 billion and with active token issuance. In a broader context, market sentiment remains optimistic: Strategy CEO Phong Le expects a positive outlook by 2026, driven by support for the crypto market in the United States.