Tidio Live Chat Software - Add Tidio live chat software to your website in minutes. Contact visitors and turn them into happy customers. Enhance their experience and boost your sales. Get it for Free

Must Read

Yusuf Balogun
Yusuf Balogun
Yusuf is an aspiring Journalist and Health law expert with a special focus on technology innovations. He is a writer at Right for Education, Libertist Centre for Education, Qwenu, and Editor at Gamji Press, UDUS.

The market’s worth, which had surpassed $1 trillion on Wednesday morning, fell below $900 billion as traders reacted to speculations of liquidity issues at the significant exchange FTX. Unexpected traders liquidated long bets worth roughly $700 million over the past 24 hours.

The crypto market value of Bitcoin and Ethereum is decreased by more than 8% from the previous day, reaching lows last seen in early October and interrupting a slight recovery. XRP, Dogecoin, and Cardano all experienced declines of over 12% while Solana, whose noteworthy advocate Sam Bankman-Fried is, saw a 25% loss.

Also Read

Futures tracking ether and bitcoin were liquidated for a total loss of $390 million, while liquidations for SOL futures lost $40 million. The fact that liquidations for FTT futures were far smaller at $27 million shows that spot token sales were mostly to blame for the steep fall.

When an exchange forcibly closes out a trader’s leveraged position due to a partial or complete loss of the trader’s initial margin, this is known as liquidation.

Elegant Themes - The most popular WordPress theme in the world and the ultimate WordPress Page Builder. Get a 30-day money-back guarantee. Get it for Free

A trader fails to have enough money to keep the trade open when they cannot meet the margin requirements for a leveraged position. The native FTT tokens of FTX, which are also controlled by Sam Bankman-Fried, were found to be in large quantities on the balance sheet of Alameda Research, a cryptocurrency trading company, according to CoinDesk.

This meant that Alameda was primarily based on a coin that a sister company generated rather than relying on a standalone asset like fiat money or another cryptocurrency.

Due to the expectation that FTX would go bankrupt, market participants sold FTX-linked coins to reduce their possible losses. Competitor Binance started to sell off more than $500 million worth of FTT it held on its books, which sparked a 24-hour drama that culminated with Binance agreeing to purchase FTX, which is now widely seen as being insolvent.

Such market trends worried the cryptocurrency markets as traders responded to the possible risks. Prices for FTT dropped by 70% to levels seen in the middle of 2021. Thus, the above analysis has improved the $100 billion drop in the crypto market value in the past 24 hours. Stay connected with TechGenyz for more updates.

Save up to 60% on OptinMonster

Stay updated

Subscribe to our newsletter and never miss an update on the latest tech, gaming, startup, how to guide, deals and more.

- Advertisement -
- Advertisement -

Latest

Grow Your Business

Place your brand in front of tech-savvy audience. Partner with us to build brand awareness, increase website traffic, generate qualified leads, and grow your business.

- Advertisement -

Grow Your Business

Get these business solutions, tools and services to help your business grow.
Elementor

Elementor -Join 5,000,000+ Professionals Who Build Better Sites With Elementor. Build your website with 100% visual design that loads faster and speeds up the process of building them.

WP Rocket

WP Rocket - Speed up your website with the most powerful caching plugin in the world. The website speed increase means better SEO ranking, user experience, and conversation. It’s a fact that Google loves a fast site.

Kinsta

Kinsta - If you are looking for WordPress managed hosting, Kinsta is in the leading front. Kinsta provides WordPress hosting for a small or large business that helps take care of all your needs regarding your website with cutting-edge technology.

OptinMonster

OptinMonster - Instantly boost leads and grow revenue with the #1 most powerful conversion optimization toolkit in the world. 700,000+ websites are using OptinMonster to turn their traffic into leads, subscribers, and sales.

Related

- Advertisement -
- Advertisement -