Chaotic market following liquidations of 3AC’s assets
Three Arrows Capital (3AC) was flying too close to the sun, leading to a brutal market meltdown as 3AC failed to meet margin calls (slide 9). A market-wide liquidation of 3AC's assets ensued, leading to a plunging crypto market
Jun 20th 2022
Fear of contagion from the collapse infected the market, and BTC fell below $20,000, reaching lows of $17,600 before recovering above $20,000 for the weekly close.
After the sharp rebound, all the top three cryptocurrencies by market cap end the week flat. BNB is the winner after increasing 2%, ETH ends at -1%, and BTC is the worst performer after falling 2%.