of cryptocurrency market The company could experience further economic downturn as recent developments suggest an impending decline is on the horizon. This is in response to recent market movements. grayscaleIt is thought to be the cause of. Recent Bitcoin price decline.
Celsius and FTX virtual currency funds start to move
On-chain data shows that defunct crypto financier Celsius Network recently transferred 34.08 million MATIC to the US. Cryptocurrency exchange Binance.On the other hand, it is linked to the wallet address alameda researcha sister company to defunct cryptocurrency exchange FTX, also recently transferred 135 WBTC to Binance, 207 WBTC and 1150 ETH to Wintermute.
These transactions are all the more significant given that Celsius and FTX are undergoing bankruptcy liquidation proceedings. repay the customer. Therefore, transferring these funds to a trading platform like Binance suggests that these tokens could be dumped on the market soon.
Celsius in particular is known for making big moves in the market recently.News BTC had recently reported How Celsisus transferred $125 million worth of ETH to various crypto exchanges last week may have contributed to the recent debacle in the crypto market.
On the other hand, Alameda’s decline is FTX repayment planSubmitted in December 2023. This is very likely given that a defunct trading company was used. as a tool FTX Customer Fraud by Sam Bankman Freed (SBF).
Total market cap chart from $1.58 trillion | Source: Crypto Total Market Cap on Tradingview.com
Another whale contributing to recent market downturn
grayscale It is also believed to have contributed greatly Recent downturn in the cryptocurrency market. Asset managers had to offload some. BTC holding amount In order to realize redemption from GBTC investors. These investors have continued to take profits since GBTC was converted into a Spot Bitcoin ETF, with more than $2 billion leaving the fund since then.
Crypto analysis platform Arkham Intelligence It was recently revealed Grayscale had transferred an additional 12,870 BTC from the wallet. This figure brings the total number of BTC that asset managers have deposited into Coinbase to 47,900 BTC, which is said to be worth approximately $1.97 billion based on current prices.
As Arkham pointed out, these transactions likely represent redemptions of BTC stock. Interestingly, JP Morgan predicts that Grayscale’s GBTC could experience up to $3 billion in outflows. If so, the market could be exposed to further pain as asset managers will need to offload more BTC to fulfill these redemptions.
Featured image from Toptal, chart from Tradingview.com
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