{"id":2053659,"date":"2023-10-03T11:53:02","date_gmt":"2023-10-03T15:53:02","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/the-crypto-market-bears-the-scars-of-ftxs-collapse\/"},"modified":"2023-10-03T11:54:58","modified_gmt":"2023-10-03T15:54:58","slug":"the-crypto-market-bears-the-scars-of-ftxs-collapse","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/the-crypto-market-bears-the-scars-of-ftxs-collapse\/","title":{"rendered":"FTX&#8217;s collapse left lasting scars on the crypto market."},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"&quot;\"><div class=\"counts mashsbcount\">18<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Fthe-crypto-market-bears-the-scars-of-ftxs-collapse%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=2053659&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><p><!DOCTYPE html PUBLIC \"-\/\/W3C\/\/DTD HTML 4.0 Transitional\/\/EN\" \"http:\/\/www.w3.org\/TR\/REC-html40\/loose.dtd\"><br \/>\n<?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><html><body><\/p>\n<div class=\"entry-content\">\n<p>By\u00a0Hannah Lang\u00a0and\u00a0Elizabeth Howcroft<\/p>\n<p>October \u20633, 2023 \u2013 3:11 \u200cAM PDT<\/p>\n<div id=\"div-gpt-ad-1663871513696-art-1\" style=\"min-width: 320px; min-height: 50px;  text-align: center;\">  \t<script>  \t\tgoogletag.cmd.push(function() { googletag.display('div-gpt-ad-1663871513696-art-1'); });  \t<\/script>  <\/div>\n<div class=\"ad-slot__ad-label\">Advertisement<\/div>\n<\/p>\n<p>(Reuters)\u00a0\u2013 The <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/the-crypto-market-bears-the-scars-of-ftxs-collapse\/\" title=\"FTX's collapse left lasting scars on the crypto market.\"><a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/coinbase-blacklists-25000-russian-crypto-addresses\/\" title=\"Coinbase Blacklists 25,000 Russian Crypto Addresses\">global cryptocurrency market<\/a> remains badly scarred<\/a> following the tumultuous collapse of crypto exchange FTX and other\u200c big players last year, with crypto prices, volumes and venture capital investment well \u2062below their 2021 peaks.<\/p>\n<p>Sam Bankman-Fried, the former CEO of\u200c FTX, stands\u2064 trial\u200d in New York on Tuesday, charged with seven counts of fraud and\u2062 conspiracy stemming from the exchange\u2019s abrupt\u200d collapse in November 2022. He has\u00a0pleaded\u2063 not guilty.<\/p>\n<p>FTX was \u2062one in\u2064 a series of industry meltdowns that sent bitcoin\u00a0BTC=BTSP\u00a0crashing\u2062 to its lowest price since 2020. While bitcoin and \u200dother major tokens have partially recovered, the sector\u200c remains far from the fever pitch it hit\u2062 in late 2021.<\/p>\n<h2>Here are five charts that show how the crypto landscape has \u2064changed.<\/h2>\n<h3>BITCOIN BLUES<\/h3>\n<p>Bitcoin, by far\u200c the biggest cryptocurrency and\u2064 the chief barometer for crypto market \u200csentiment, \u200dhas bounced back about 37%\u200c since Nov. 1.<\/p>\n<p>The cryptocurrency was riding high \u200bin\u200b 2021,\u00a0hitting a \u2063record $69,000 in\u200d November that year. But as central banks began to hike rates\u2063 in early \u200b2022, riskier assets like cryptocurrencies began to feel\u200c the pain as investors sought better\u200d returns elsewhere.<\/p>\n<p>Bitcoin lost more than 65% of its value last year, pummeled\u200b by the\u00a0collapse\u00a0of stablecoin terraUSD, which led Singapore hedge \u200cfund Three Arrows Capital to file for bankruptcy\u200d and caused wider\u2062 havoc\u200b in crypto markets.<\/p>\n<p>Several other \u2064companies\u00a0also collapsed, but the \u200cfall of FTX pushed bitcoin\u2064 under \u2064$16,000 in November last year. Bitcoin took another hit earlier this year when Silvergate Bank, a popular U.S. partner for crypto companies, said it\u00a0would shut down.<\/p>\n<p>Still, bitcoin has regained almost\u2064 three-quarters of its value this year on interest from major \u200bfinancial firms including BlackRock and hopes that interest rate hikes are ending. It was trading on Monday at around $28,089.<\/p>\n<p>\u201cThe FTX debacle came at the\u200b end of an annus horriblis that had already seen a tech sector collapse, sharply \u200dhigher \u2064interest rates and self-inflicted \u2062industry \u200dwounds,\u201d said Ben Laidler, global markets strategist at eToro.<\/p>\n<h3>CRUMBLING MARKET CAP<\/h3>\n<p>After peaking at $3 trillion in November \u20622021,\u200c the value \u200cof the overall crypto market\u00a0plummeted\u00a0through 2022, hitting a two-year low of $796 billion as \u2064FTX imploded. It has since clawed back some ground, hovering above $1 trillion \u2063most of \u2064this \u200cyear.<\/p>\n<p>\u201cThe issues with FTX\u200b have undoubtedly hit confidence in \u200cthe crypto ecosystem at large,\u201d said Usman\u200b Ahmad, CEO of Zodia Markets, the crypto exchange of global \u2062bank Standard Chartered\u00a0STAN.L.<\/p>\n<h3>STABILIZING BITCOIN?<\/h3>\n<p>Known for its volatility, bitcoin has gained some stability this year.<\/p>\n<p>Yet the\u2062 relative calm in\u200b crypto markets\u200d is not necessarily a good thing, said some market participants, noting\u200c that many investors are attracted to crypto precisely because of its volatility, which \u200coffers opportunities to make \u2064quick profits.<\/p>\n<p>\u201cWe expect low to medium volatility over the near-term,\u201d said\u200d Anders Kvamme\u2062 Jensen, founder of \u2063crypto\u200c firm AKJ.<\/p>\n<h3>VC CRYPTO BETS TUMBLE<\/h3>\n<p>Venture capital\u200c (VC) investments\u2062 flooded into crypto\u200c during its boom year of 2021,\u200c and even \u200cthrough 2022. But such bets \u200bhave slowed considerably this year, after\u2062 many firms were burnt by the market\u2062 meltdown.<\/p>\n<p>U.S.\u2064 VC crypto investments totaled $6.12 billion in the \u200dfirst\u200c quarter of 2022, but slumped\u2062 to just\u2064 $870 million in the same\u2062 quarter this year, according \u2062to data \u2064firm PitchBook.<\/p>\n<p>\u201cThis slowdown wasn\u2019t primarily\u200d due to the failure of FTX but was already underway with the collapse of the [terraUSD] ecosystem earlier \u2064in\u200b the year,\u201d said Robert Le, \u2064senior crypto analyst at Pitchbook.<\/p>\n<p>\u201cVenture investors \u200care now\u2063 proceeding with caution,\u201d he added.<\/p>\n<h3>VANISHING VOLUMES<\/h3>\n<p>Since FTX\u200b failed, crypto \u2063trading volumes have\u200b collapsed, causing traders that had been attracted to the market\u2019s \u2063strong liquidity \u2062to pause buying and selling\u200d tokens, or exit\u200d the market altogether.<\/p>\n<p>In September 2023,\u200b total monthly volumes across spot and derivative markets fell to $1.4 trillion, down more than 60% from September 2022, according to London-based researcher CCData. Spot markets bore the brunt, \u2062with \u200bvolumes down more than 70% at\u2063 $272\u200b billion.<\/p>\n<p>Derivative volumes, meanwhile, \u2062have fallen by 60% to $1.1 trillion in the 12 months since September 2022.<\/p>\n<p>\u201cThe exit \u200cof some large market makers \u200dpost-FTX significantly reduced liquidity which \u200bhas led to\u2062 both low trading volumes and low volatility,\u201d said Noelle Acheson,\u2063 an economist who closely follows crypto.<\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<p>AG James continues her witchhunt to get Trump, while a Maryland resident is appointed to California\u2019s Senate seat.<\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<p>California has quietly repealed the <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/california-quietly-repeals-controversial-medical-misinformation-law\/\" title=\"California quietly repeals controversial medical misinformation law.\">controversial medical misinformation law<\/a> that targeted doctors, disciplining\u200d them for contradicting the state\u2019s COVID-19\u2064 narrative and deeming it as misinformation. <\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<p>Arizona Congressman \u2063Andy Biggs warns House Speaker \u200dKevin McCarthy\u2019s support in the GOP is weakening.<\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<p>The Heritage Foundation \u2064is suing the Biden Administration\u00a0\u2062 on behalf of Moms \u200cfor Liberty. The \u2062lawsuit demands the DOJ, \u2062Homeland Security , HHS and FBI hand over all records concerning their communication with the Southern Poverty Law Center about Moms For Liberty. <\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<p>The global cryptocurrency market remains badly scarred following the\u2062 tumultuous collapse of crypto exchange\u200d FTX and other big players last\u200d year<\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<p>A California federal judge has ruled people who own Tesla\u200b cars must pursue \u200dautopilot claims in individual arbitration rather\u2062 than \u2062court.<\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<p>Avio said its Vega C \u200crockets would return to flight in\u200d late 2024 after\u2064 implementing fixes\u2062 following a failed satellite launch.<\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<p>Microsoft \u200dchief executive\u2062 Satya Nadella called the idea that it\u2063 is easy\u200b to\u200d change defaults on computers and smartphones\u2063 as \u201cbogus\u201d in\u200b the U.S. Justice \u2063Department\u2019s antitrust\u2064 fight with Google.<\/p>\n<\/p><\/div>\n<p> rnrn  <\/p>\n<h2>Bank, one of the largest cryptocurrency \u200cbanks, declared bankruptcy. How has \u2063the collapse of FTX \u2063and other big players affected the global cryptocurrency market?<\/h2>\n<p><span>  The Changing Landscape of the Global Cryptocurrency Market<\/p>\n<p>By Hannah Lang and Elizabeth Howcroft<\/p>\n<p>October 3, 2023 \u2013 3:11 AM PDT<\/p>\n<p>(Reuters) \u2013 The global cryptocurrency market remains badly scarred following the tumultuous \u200bcollapse of crypto exchange FTX and other big players last year, with crypto\u200b prices, volumes, and venture capital investment well below their 2021 \u2064peaks.<\/p>\n<p>Sam Bankman-Fried, the former CEO of FTX, stands trial in New York on Tuesday, charged with seven counts of fraud and conspiracy stemming from the exchange&#8217;s abrupt\u2064 collapse in November 2022. He \u200bhas pleaded not guilty.<\/p>\n<p>FTX was one in\u200c a series of industry\u200c meltdowns that \u200dsent bitcoin crashing to \u200cits lowest \u2062price since 2020. While bitcoin and\u200c other\u2064 major \u200btokens have partially recovered, the \u200bsector remains far from the fever pitch it hit in late 2021.<\/p>\n<p>Here are five charts that show how the crypto landscape has changed.<\/p>\n<p>BITCOIN BLUES<\/p>\n<p>Bitcoin, by far the biggest cryptocurrency and the \u2063chief barometer for crypto market sentiment, has bounced back about 37% since November 1.<\/p>\n<p>The cryptocurrency was riding high in 2021, hitting a record $69,000 in November that year. But as central banks \u200dbegan to hike rates in early 2022, riskier \u200dassets like \u200ccryptocurrencies began to feel the pain as investors sought\u200c better returns elsewhere.<\/p>\n<p>Bitcoin lost more than 65% of its value \u2062last \u2062year, pummeled by the collapse \u200cof stablecoin\u200b terraUSD, which led Singapore hedge \u2062fund\u200b Three Arrows Capital to file for bankruptcy and caused\u200c wider havoc in crypto markets.<\/p>\n<p>Several other companies also collapsed, but the \u200dfall of FTX\u200d pushed bitcoin \u200dunder \u200c$16,000 in November last\u2064 year. Bitcoin took another hit earlier this \u200byear when Silvergate<\/p>\n","protected":false},"excerpt":{"rendered":"<p>for his alleged involvement in the collapse, as authorities continue to investigate the extent of the damage caused. The aftermath has left the cryptocurrency market in a state of uncertainty, with prices and investments struggling to regain their previous highs.<\/p>\n","protected":false},"author":1911,"featured_media":2053660,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2021\/01\/IMG_2758-scaled-1.jpg","fifu_image_alt":"","footnotes":""},"categories":[542],"tags":[],"class_list":["post-2053659","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-oann"],"fifu_image_url":"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2021\/01\/IMG_2758-scaled-1.jpg","_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2053659","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/1911"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=2053659"}],"version-history":[{"count":0,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2053659\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/2053660"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=2053659"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=2053659"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=2053659"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}