Gold-Backed PAXG/USDT Pair Briefly Spikes to $4,790 on Binance
PAX Gold (PAXG) briefly spiked past $4,800 on major exchanges, driven by the liquidation of a significant short position, with Binance reaching $5,106.
USDT
PAXG
Fact Check
Evidence from Binance's platform directly mentions 'PAXG Reaching a New All-Time High' in the context of a 'Price Anomaly.' Other sources confirm PAXG is a gold-backed asset and that price anomalies and spikes occur on Binance. While the specific price of $4,790 is not explicitly stated in the provided text, the evidence strongly corroborates the core claim of a significant and anomalous price spike for PAXG on the platform.
Summary
On October 17, PAX Gold (PAXG) experienced a brief surge, peaking at $5,106 on Binance, attributed to the liquidation of a major short contract. This led to a 15.8% price increase in Binance’s USDT-margined contracts. Over $6.82 million in PAXG positions were liquidated in just four hours, including $5.55 million in shorts. Binance has not yet commented on the incident.
Terms & Concepts
- PAX Gold (PAXG): A cryptocurrency backed by physical gold, where each token represents a specific amount of gold held in reserve.
- USDT (Tether): A stablecoin pegged to the US dollar, commonly used in cryptocurrency trading for stability against volatility.
- Short Liquidation: The forced closure of a trader’s short position due to adverse price movement, often resulting in a sharp price increase as the market moves against the position.