Why the BTC/USD1 Flash Move Did Not Impact Bitcoin’s Price

A sudden and sharp price drop was seen by users on the BTC/USD1 trading pair on Binance on December 25, 2025. For a brief moment, the price of Bitcoin fell to around $24,111. Within seconds, the crypto price moved back above $87,000.

At first glance, the move looked serious. Alerts went off. Charts showed a long red wick. Social media filled with screenshots. But the event was limited to one low-liquidity trading and did not affect Bitcoin’s broader price.

Source: X Account

What Happened in Simple Terms

  • The drop happened only on the BTC/USD1 pair
  • Major pairs stayed stable around $87K–$88K.
  • The move lasted just a few seconds
  • The price corrected quickly due to arbitrage trading

This was a flash crash, not a wide crash in crypto.

Why Major Bitcoin Prices Were Not Affected

While the USD1 pair showed a dramatic wick, Bitcoin’s price remained stable. It continued trading around the $87,000–$88,000 range during the same time.

This shows an important point for users. A move on one trading pair does not always reflect the real price of an asset. Each pair has its own order book, liquidity level.

Why This Drop Happened

Several factors came together at the same time:

  • Low liquidity- The USD1 has far fewer buyers and sellers than.
  • Holiday trading- Christmas Day usually sees thin trading volume, making order books fragile.
  • Large market sell order- One big sell order hit the order book and cleared out available buy orders.

When there were no buy orders left at higher prices, the trade filled at much lower levels, creating a sudden price wick.

How the Price Recovered So Fast

As soon as the price dipped, arbitrage bots reacted.

These automated systems:

  • Bought cheaply on USD1
  • Sold it on higher-priced like USDT

This activity pushed the price back to normal almost instantly. The wider market did not move.

Who Was Affected

Most traders were not affected at all.

  • If you were holding in a wallet, no impact
  • If you were trading BTC/USDT or BTC/USDC, no impact

However, some users were affected:

  • Stop-loss orders were triggered
  • A few positions closed at very poor prices
  • No signs of widespread liquidations

The impact was real for a small group but limited in scope.

Panic vs Reality

Many users reported a moment of panic after seeing Bitcoin appear to drop to $24,000. Social media quickly filled with screenshots, jokes, and speculation.

In reality, the broader market was unchanged. The move was technical, brief, and limited to a single pair.

For long-term holders, nothing about Bitcoin’s fundamentals changed. The network, price trend, and wider market remained intact.

Why Low-Liquidity Pairs Are Risky

It behave differently:

  • Fewer orders in the book
  • Prices move faster
  • One trade can cause large swings

During holidays or quiet hours, these risks increase.

This event shows structure risk, not a failure or exchanges.

Key Lessons for Everyday Traders

Here are simple takeaways you can apply:

  • Stick to high-liquidity- Use BTC/USDT or BTC/USDC for serious users for crypto trading.
  • Use limit orders, not market orders-  Orders can fill at extreme prices in thin books.
  • Be careful with stop-loss placement- Tight stops on niches can be hit by brief wicks.
  • Trade smaller or take breaks during holidays- Low volume increases risk in crypto.

Community Reaction

Social platforms were quick to react:

  • Some usersjoked it was the “real bear market bottom.”
  • Others suspected manipulation
  • Many shared screenshots of the wick

After details became clear, most agreed it was classic low-liquidity chaos, not a coordinated attack.

What This Means Going Forward

Flash crashes on niche trading pairs are not new in crypto. Similar events have happened before and will likely happen again in crypto.

For long-term holders, nothing has changed. All the fundamentals and broader market remain intact.

For traders, this event is a reminder:

  • Liquidity matters
  • Order type matters
  • Understanding trading pairs matters

In the end, this was a short-lived glitch, corrected within seconds, but full of lessons for anyone active.

Looking Ahead

Flash crashes on low-liquidity pairs are not new in crypto markets. Similar events have happened before and will likely happen again.

This incident serves as a reminder that not all price charts tell the full story. Understanding trading pairs, liquidity, and order types is essential for safer trading.

For most users, this was simply a short-lived glitch. For users, it offers useful lessons on risk, caution.

About the Author Nora Stein

Crypto Journalist at Cryptodisplay

No author description is available.

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