Bitcoin (BTC) opened on Tuesday, November 8, falling below $20,000 after trading above it for 14 days. It hit $19,300 in the early hours of the morning, according to TradingView. This follows Binance's skepticism towards FTX and its FTT token amid growing concerns about the cryptocurrency market.
In the fall, a technical analyst called "Bitcoin for a day" commented that the cryptocurrency markets
"Faced with the FTX problem, he was driven by fear."
At the same time, stock prices rose and temporarily lost correlation with equities, he warned.
According to the Fear and Greed index, fear in the cryptocurrency market has increased from 40 to 31 levels in three days. This comes after the CEO of the largest exchange, Binance, announced that it would sell all of its FTT amid rumors of the bankruptcy of the second largest exchange, FTX, and its investment fund, Alameda Research. Since then, the FTT has dropped 40% from $25 to $15 in less than three days, according to TradingView records. Most of the crash occurred in the early hours of November 8, when Binance's CEO again defended his decision to sell. Furthermore, the CEO of BINANCE commented that the operation was not a "conspiracy" against its competitors. This is what the CEO of FTX recommended.
Everyone wants our industry to be more transparent, right? My tweets are simple. There were questions about Binance's large FTT deposit ($580 million) and we spoke clearly about closing FTT positions. That it caused so much "discussion" is surprising. There are also conspiracy theories that I somehow orchestrated the whole thing.
The whales make their moves to the trades
In the context of the dispute between the heads of two of the largest stock exchanges in the world and the bears, the researcher whale_alert revealed that several whales (large investors) sent thousands of bitcoins to the exchanges.
The GranMago analyst warns that this behavior often reflects that they are going to be sold.
CryptoNavi said that the reversal option has been around for several weeks and is part of the daily deals. Therefore, he emphasized that the decline of Bitcoin is not due “to the nonsense of the so-called fight between Binance and FTX”. He backed the idea that prices "were an interesting point" for futures to bet lower.
In turn, all of this will pass, and the US inflation report is due on Thursday, November 10. According to distributor Daniel Muvdi, this is "the most important event on the market."
He believes that if US inflation "brings a positive surprise, it will be key to ending this year's bull run (for bitcoin and stocks)." He concluded that the bottom line is if the Federal Reserve then cuts interest rates by 50 basis points.
