Madman said

The U.S. stock market was closed for the past two days, and the traditional financial market was not very active, but the cryptocurrency circle once again received bad news. CZ tweeted that he would liquidate his FTT holdings. It should be noted that Binance is an early investor in FTX, and the cost of holding FTT is extremely low, and the quantity is huge. Once the tweet was sent, various media began to speculate recklessly, saying that the cashing out of FTT would put FTX under pressure to accept the payment, and began to compare FTX (centralized exchange) and Alameda (centralized asset management company) with LUNA, believing that their reserves were insufficient and they could not cash out. So when the wall fell, everyone pushed it down, and it was important to save their lives first, and all the gods withdrew their money together. At this time, it happened to be the weekend in Europe and the United States, and the financial systems were not working, and the funds were delayed in arriving, and a new wave of black materials continued to flow in mindlessly...

Institutions with funds in FTX began to withdraw money. Jumping Trading withdrew about 40.4 million USDC, and NEXO withdrew more than $100 million in tokens, including ETH and stablecoins. There are too many such things. Although Afro responded to the rumors and said that billions of dollars in withdrawals had been processed today, the market still did not buy it, and the withdrawal movement continued. So far, FTX's hot wallet ETH and stablecoins have been emptied. As long as new funds are transferred to the hot wallet, they will be quickly emptied. It can be seen how huge the current FTX withdrawal demand is. This also led to a large inflow of Binance stablecoins and a large outflow of FTX stablecoins. With this inflow and outflow, Binance's industry position has become more stable. It has to be said that CZ is really experienced in the business world.

That's the story. Let me tell you my thoughts. FTX has spent a lot of money recently, whether it's donating to the US government election or on mergers and acquisitions in the industry. This is obvious to all. A new round of financing plan was revealed some time ago. In addition, SBF's own investment portfolio should also include US stocks. I personally think that the capital reserves transmitted in the market are more or less logical, especially in the case of extreme centralization of FTT. Now SBF has two paths to go. First, give up FTT and let CZ smash it, to keep the funds in preparation for the user run. This means giving up the reputation of the exchange, and FTT will be smashed to a very low level, but it will not return to zero, and there will be a chance to make a comeback in the future. Second, raise enough funds to take over all withdrawals and FTT's takeover. This is obviously extremely difficult at the moment. Once any detail is not kept up, it is likely to lead to a total loss. At this point, if it were a madman, he would probably choose the second path and give it a try, because once this wave is suppressed by Binance, there will be almost no chance of surpassing in the future, and all the efforts made before will be wasted, so SBF is more likely to choose to give it a try. Financing, redemption, and taking over the FTT that has been thrown out. If one step is wrong, the currency circle will be affected. In short, this battle between the top exchanges is obviously bad for the market. Everyone should lower their expectations for this week's rise. There are no shortage of black swan events in the currency circle. Everything should be based on the overall safety. Protect your wallet and beware of large losses caused by short-term fluctuations.

The other battlefield is between Huobi and GALA. On the one hand, Huobi said that pNetwork made profits by issuing a huge amount of tokens and concealed its attack from the exchange. On the other hand, pNetwork said that it would take legal action against Huobi's false accusations and had evidence to prove its innocence. This is harmless to the market. Who wins or loses has little impact on us, so the result is not important. But for Huobi, the brand is very important at the moment. If it takes a wrong step, it will be very difficult to turn around.

Bybit said it will not restrict Russian users and will take advantage of the chaotic times to grab Russian traffic. The exchange is headquartered in Singapore. I remember that a few days ago, Singapore regulators said that they could not provide services to Russian users. I don’t know what the exchange is thinking. Let’s look at it dialectically. If they succeed in grabbing traffic, they will be a great success, but if they attract the fire of supervision, they will also suffer.

Panic 33, the level has intensified.

Bitcoin: 5,000 bitcoins were deposited into Gemini, which also accounted for the absolute number of bitcoins deposited into the exchange in the past 24 hours. 5,679 bitcoins flowed into the exchange in the past 24 hours. The fermentation of the FTX incident has obviously attracted some selling pressure, and may further trigger selling pressure on FTX and Alameda reserves. The short-term strong support returned to 20,000 again. Before that, the market will continue to pull back due to panic.

ETH: No new expectations, weak linkage.

ETC: An organization claiming to be ETC Grants DAO announced that it is gradually buying large amounts of ETC (the first batch is $5 million). The active members of this organization are from Bitmain, Ant Mining Pool, ETC project parties and ETC core projects, etc. I don’t know what this organization is buying coins for, but it seems to be good information, so you can pay more attention to it later.

We hope that FTX can pass the test smoothly. After all, no one knows how much money is in the Alameda blind box, and SBF has not given a clear response to this. This is what people are most worried about. If this negative news can be quickly implemented, the market will resume its upward trend.