Bitcoin, crypto rise as FTX contagion fears ease



Bitcoin rallied above $16,000 in Wednesday morning trading as it rallied along with Ether and the rest of the top 10 cryptocurrencies by market capitalization excluding stablecoins as the market shook off the Lingering doubts from earlier in the week of further contagion from the now bankrupt. FTX crypto exchange.

See related article: Cathie Woods Buys the Dip as Ark Invest Acquires Coinbase, GBTC Shares: Bloomberg

Fast facts

  • Bitcoin rose 2.6% to $16,198 in the 24 hours to 8 a.m. in Hong Kong, while Ether gained 2.5% to change hands at $1,135. according to CoinMarketCap. Leading memecoin Dogecoin rose 5.1% to $0.07 and Polygon gained 6.8% to $0.85.

  • Litecoin posted the biggest gains on that list, rising 13.7% to $70.09, which is an increase of 20.76% over the past seven days, as it moved up several positions on the CoinMarketCap list. Despite the broader market downturn, the blockchain recently hit its all-time high mining difficulty on November 18, and CryptoSlate recently wrote that “[Litecoin’s] The resurgence is likely a symptom of cryptocurrency users seeking stability in a chaotic market.”

  • While it had gained 5% to $12.44 as of Wednesday morning, Solana continued its slide down the CoinMarketCap ranking, which began when Alameda Research began selling large amounts of its holdings in the token amid the collapse of the token. sister company FTX.

  • The markets were shaken tuesday as brokerage firm Genesis Global Capital halted withdrawals amid increased trading activity, raising concerns for venture capital parent company Digital Currency Group (DCG), which revealed it owed Genesis US$575 million . Despite this, DCG revealed in a letter to shareholders that the loans don’t come due until May 2023, and the company aims to emerge “stronger” after Crypto Winter, according to a Tuesday. wall street journal report.

  • “The FTX collapse is the story of a company that chose to operate outside of existing regulation while showing that it was regulated. In Australia, the FTX collapse has brought to light the issue that cryptocurrency exchanges do not and cannot provide full legal ownership of the asset to their clients as they are unregulated,” said Jeff Yew, CEO of Monochrome. Australian Asset Management. Forkast via email.

  • “This is most critical for farms that have specific legal requirements such as a [self-managed superannuation (retirement) fund]. Storing cryptocurrency on cryptocurrency trading platforms could jeopardize the obligation of trustees to guarantee absolute right to the asset,” she added.

  • US stocks closed higher on Tuesday. The Dow Jones Industrial Average rose 1.2%, while the S&P 500 Index and Nasdaq Composite Index gained 1.4%.

  • US investors eagerly await Federal Reserve release November meeting minutes on Wednesday for information on how the Fed views current economic conditions and its plans for possible additional interest rate hikes as it continues to combat nearly 40-year high inflation.

  • The Fed has been raising interest rates since March of this year to try to curb inflation, raising them from near zero to a 15-year high of 3.75% to 4%. The Fed has signaled that it will continue to raise rates until inflation reaches a 2% target range.

See related article: SBF parents and FTX execs bought $121 million worth of Bahamas property: Reuters