Downfalls of crypto exchanges like FTX have always been preceded by massive currency transfers. However, some observers suggest that at the moment large volumes of bitcoin leaked from exchanges like Binance. Is this the beginning of the fall for this colossus with feet of clay and his peers?
Bitcoins leave the exchanges
Is it time to abandon Binance ship? This is a question that some observers are asking themselves at the moment. The investigation carried out by the American regulators concerning its regularity, the repression which will result from it and many other reasons push them to question the solidity of the CZ exchange.
NewsBTC just added another crucial point: the rise in the number of bitcoins leaving cryptocurrency exchanges. This phenomenon was seen in the sector last week.
Something to raise doubts, which investors call “Fear, Uncertainty, and Doubt (FUD)”.
” There seems to be a lot of FUD lately regarding liquidity on exchanges, market makers leaving the ecosystem, etc.
Kaiko’s team covers the subject well, ending a few conspiracies. (Although it was apparently true that Jump and Jane were pulling out of any cryptocurrency exchange operations in the United States). »
” People spot a BTC bounty on Binance US and seem to get carried away saying it’s a big market maker withdrawing funds.
No change in market depth on the exchange makes me almost certain that is not yet the case.
Binance US is more likely to offer slower USD withdrawal times after struggling to get a bank, faster BTC withdrawals + increased demand = premium. »
Words that reassure
Looking at Conor Ryder’s chart, you will find data on Binance.US. This Binance subsidiary is suffering right now. The reason: it is not better able to provide an efficient on-ramp for cryptocurrencies after the SEC decided to attack it. Thus, investors do not hesitate to grant a premium to promote the purchase of BTC. On other platforms, this does not exist.
But it’s far from enough to impact the liquidity and depth of the bitcoin market. At least in the short term.
The case of Jane Street Group and Jump Crypto which had to slow down their activities could also worry some. According to them, regulatory vagueness relating to the cryptocurrency sector is not motivating.
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