The crypto market is still feeling the impact of FTX’s fall with fears that Genesis Global Trading will see the same fate. The two major cryptocurrencies have ended the week roughly where they started.
Bitcoin and Ethereum continue to hold lows. The most popular crypto was holding at $16,622 while, the second much-favored coin was trading at $1,215. BTC price surged 0.75% in the last 24 hours and ETH’s price jumped 2.35%. On Monday, Bitcoin had plunged to the two-year-olds. The price was driven by renewed fears that the liquidity contagion could affect other players. Prior to the dramatic fall of FTX, BTC had graced the $23,000 level.
Now, all eyes are on Genesis Global that had announced on November 16 that it would temporarily suspend redemptions and new loan originations in the lending business. But on November 22, the firm refuted speculation of imminent bankruptcy but confirmed difficulties in raising funds.
Overall, the crypto markets have been relatively calm over the past three days. It has buoyed along with equity indexes by signs that the U.S. federal bank would retreat from its current hawkish 75 basis point interest rate hikes. While most analysts are bearish about crypto prices, some crypto observers believe the recent debacles may strengthen the crypto industry by forcing regulators to ratchet up their efforts.
Digital asset investments continue to be extremely volatile.