Crypto market liquidity dries up following Alameda and FTX collapse

  • 📰 TheBlock__
  • ⏱ Reading Time:
  • 42 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 20%
  • Publisher: 53%

Business News News

Business Business Latest News,Business Business Headlines

The crypto market has seen liquidity dry up as market makers re-examine their exposure and risk tolerance.

The ability to purchase large amounts of bitcoin and ether has declined since Alameda shut down.

The firms, both founded by disgraced former billionaire Sam Bankman-Fried, were key market participants until they filed for bankruptcy protection earlier this month."Crypto liquidity is dominated by just a handful of trading firms, including Wintermute, Amber Group, B2C2, Genesis, Cumberland and [the now defunct] Alameda," the firm said."With the loss of one of the largest market makers, we can expect a significant drop in liquidity, which we will call the 'Alameda gap.

The ability to make a large order within 2% of bitcoin's midpoint price has declined to the lowest level since early June. Wintermute's Evgeny Gaevoy said that market makers re-examining their exposure to certain venues in the wake of the FTX meltdown is one driving factor behind the liquidity dry-up.

 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.

fintechfrank That’s so shameful, Gemini planned this to trap our funds, they must have gotten a handsome cut, now Genesis declaring bankruptcy to get off the hook

Theyy don’t want youu to know thiss

Theyy don’t want youu to know thiss

Quite the shocker after everyone has been effectively wiped out! Brilliant reporting.

Theyy don’t want youu to know thiss

Mind the gap

It was that nerdy intelligent girl that just wanted to save the world!!!!

Really sucks to not have Alameda as the losing end of every trade now 😭

We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 464. in BUSİNESS

Business Business Latest News, Business Business Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Bitcoin drops to 1-week low, ether slides 7% as FTX collapse ripples through crypto marketThe cryptocurrency market has come under pressure over the last two weeks as problems at major exchange FTX came to light. Ripple Have fun with the Crypto boys..lol
Source: CNBC - 🏆 12. / 72 Read more »