The crazy ride in the cryptocurrency market continues. First another fall, then a quick recovery

The goings-on around one of the world’s biggest cryptoexchanges is evolving in an unexpected direction. While still midweek it seemed that the helping hand of the FTX cryptocurrency exchange would be filed by its competitor Binance, on Thursday the situation changed.

FTX solvency problem

When there was a cry that the FTX cryptocurrency exchange had a solvency problem, there was a panic in the markets and cryptocurrencies fell freely to the ground. Bitcoin has lost over 10 percent of its value. The appeasement came after the owner of rival cryptoexchange Binance, Chinese billionaire Zhao, said on Twitter that it might take over FTX.

The Binance decision caused another fall in criptocurrencies

But the very next day it became clear that Binance would give FTX his hands off. It said after studying the details of a possible transaction. This worked as another detonator on cryptocurrencies and the fall continued. Bitcoin has found a foothold at 16 thousand dollars. During Thursday’s trading, however, a turnaround came and cryptocurrencies began to rise, Bitcoin solidified by more than 12 percent.

Cryptocurrencies have been helped by better-than-expected inflation developments in the US, but also by the news that another Chinese entrepreneur, Justin Sun, could save the FTX exchange. Sun is the founder of the blockchain ecosystem Tron and offered FTX a helping hand, according to the portal Coindesk.com.

author avatar
EditorialTeam
The Trader-Magazine.com EditorialTeam is a collective of certified financial analysts, active traders, and cryptocurrency experts. Our mission is to transform complex market data (forex, equities, indices) into accessible financial education. All content undergoes rigorous, multi-level fact-checking to ensure we deliver only accurate, objective information for your trading and investment decisions.

Top 10 financial instruments for 2022. What will their prospects be in 2023?

The year 2022 has brought countless surprises and obstacles...

Telegram scams: how they work and how to protect yourself

Telegram has become one of the most widely used...

Trump Saved TikTok from a Ban. The App in the U.S. Moves into American Hands

TikTok narrowly avoided a ban in the United States...

Climate Change Poses Major Risks to Financial Markets, Regulator Warns

WASHINGTON — A top financial regulator is opening a...

Golden Brokers Review

Golden Brokers Limited was founded in 2018, it is...

Siemens’ Quarterly Profit Beats Estimates as the Company Benefits from AI-Related Demand

German industrial conglomerate Siemens increased its profit from industrial...

Sell Stop Orders: How They Work, When They Trigger and Where They Fail

A sell stop order allows investors to automatically sell an asset...

German Authority Investigates PayPal Over Possible Restriction of Competition

The online payment system PayPal may be engaging in...

Airbnb Could Earn More From the Same Booking

Airbnb plans to bring car rentals and partner services directly into its platform. With AI customer support reducing overheads, the company aims to earn higher profits from existing customer bookings.

Over-the-Counter Markets: How OTC Trading Works Outside Centralized Exchanges

Over-the-counter (OTC) trading allows investors, financial institutions, and companies...

Maersk’s profits grew, but a return via Suez may squeeze margins [1]

Maersk posted an operating profit of USD 3.3 billion...

Shooting Star Candlestick: How to Read It Without Trading the Shape Alone

A shooting star candlestick can warn that an upward...
spot_img