BTC's plunge to 24,000 is simply the result of several factors coming together, nothing mysterious.

It all started with a major exchange's financial product—USD1 deposit offering an annualized 20% yield with a limit of 50,000. As soon as the limit appeared, smart money reacted immediately. Instead of directly depositing USDT, they preferred to exchange to USD1 first and then deposit. As demand increased, the USD1 price was driven up by 0.39%. This isn't a big deal for regular tokens, but for stablecoins, it's already a quite bizarre fluctuation.

Next, arbitrageurs began to act. They borrowed USD1 via exchange VIP lending, then slowly sold it on the spot market to those simply seeking the 20% yield. With more arbitrage orders, market depth instantly became thin. The order book structure started to distort.

The real trigger was at the end. A trader targeted the BTC/USD1 trading pair, wanted to execute quickly, and ended up market selling. He estimated it was only a few tens of thousands of U.S. dollars, so he didn't think it would be a problem—who knew he just hit the moment of liquidity drying up. The price was hammered downward through the level.

Of course, arbitrageurs reacted quickly, sweeping up the cheap assets within seconds. This wasn't market manipulation or a market crash; it was the combined effect of the activity mechanism, stablecoin volatility, and market orders.