Post
Topic
Board Speculation
Re: This Bitfinex Credit Bubble cannot end well
by
Siegfried
on 01/08/2014, 06:53:43 UTC
When the price hits your liquidation price, does Bitfinex liquidate your entire position or only a part to keep you above the margin requirement?

If you are a whale, your liquidation will move the market and creating more margin call for the rest of your position. It will be a cascading event.

That happened around Christmas last year when one of the trader lose over 900k USD on cascading margin call on litecoin (and hence bitcoin).




But if you are not a whale?