crypto markets since the collapse of FTX in November, could worsen, breeding price volatility as regulators go after dominant exchange Binance.for running an alleged"illegal exchange" and a"sham" compliance program. The regulator, which is responsible for oversight of commodities and derivatives markets, including the derivatives tied to bitcoin , sued Binance CEO Changpeng Zhao and former top compliance executive Samuel Lim, alleging"wilful evasion" of the U.S.
"The main worry is what this will do short-term to market liquidity - if market makers step back from trading on Binance now, and if Binance's U.S.-based trading desks have to stop operations, that will reduce liquidity in an already thin market," Noelle Acheson, the author of the popular Crypto is Macro Now newsletter, said.
The greater the market depth, the less likely that large buy/sell orders will cause significant deviations in the asset's market price. Market makers are entities that provide liquidity to a financial market by creating buy and sell orders that aren't executed immediately.Bitcoin's 2% market depth slipped to a ten-month low last week, extending the deterioration seen since FTX's sister firm Alameda Research, formerly one of the largest market makers, closed shop five months ago.
"It is clear that the CFTC wants oversight on all crypto exchanges. It's not something new, but the market is reacting prudently and we are still holding our breath for further negative news, which may push BTC down," Kssis told CoinDesk.
CFTC binance godbole17 This case will drag on for years unless they agree to a $$$$ I think a knee jerk reaction
CFTC binance godbole17 FUD
CFTC binance godbole17 Bore off
CFTC binance godbole17 But , don't worry The storm will pass soon
CFTC binance godbole17 America's financial system is collapsing.
CFTC binance godbole17 I have 710 coindesk token what I can do now?
CFTC binance godbole17 Weak hands were selling their bitcoin when it dipped to $500. They were selling it when it dipped to $5000. They'll be selling it when it dips to $500k. God bless those paper hands 👍
CFTC binance godbole17 $25K is a “very generous observation” (by the observers) Without liquidity in the market, Bitcoin might kiss the $3,000 bottom and would nuke the rest of the market.
Can't believe it's been a year since we met her