While a large fraction of crypto assets dropped a great deal in value during the past few weeks and bitcoin is down 18.2% in 30 days, the exchange coin ftx token (FTT) still trades above a U.S. dollar per unit. Moreover, the unknown entity known as the ‘FTX Accounts Drainer,’ still holds the second largest FTT wallet with 45.85 million tokens worth $61.44 million.
FTT Remains Above $1 per Unit During the Past 2 Weeks Since the FTX Collapse
It’s been over two weeks since FTX filed for Chapter 11 bankruptcy protection and on that day, FTT was still trading for $3.46 per unit. 16 days later, FTT’s price has consolidated and during the past 24 hours, FTT’s been trading for prices between $1.33 and $1.39 per unit.
In fact, FTT has remained above a single U.S. dollar since Nov. 12, 2022, and it still has not breached the low it saw in September 2019, back when FTT traded for $1.15 per unit. On Sunday, Nov. 27, the exchange token backed by a bankrupt business has around $5.26 million in global trade volume. This week, FTT tapped a high of $1.53 per unit and a seven-day low of around $1.23 per FTT.
Since the inception of FTT, the ERC20 token has seen 411,970 transfers according to the blockchain explorer etherscan.io. On Nov. 27, approximately 24,874 wallets hold the FTT token but the largest wallet holds 195,869,338 FTT or 59.55% of the entire supply.
The second-largest FTT owner is the same person as the ‘FTX Accounts Drainer’ hacker and it holds 45.85 million FTT tokens worth $61.44 million using today’s exchange rates. The Bitdao holds 3,362,316 FTT and Wormhole holds roughly 2,818,904 FTT at the time of writing.
Between the largest and second-largest FTT addresses, more than 73% of all the FTT tokens are held by two entities. During the last seven days, there was approximately $7.69 million worth of FTT transactions greater than $100K. Prior to the FTX collapse and bankruptcy filing, Alameda Research held one of the largest caches of FTT. The former Alameda CEO Caroline Ellison has reportedly left Hong Kong to flee to Dubai.
What do you think about the market performance of FTT token during the last two weeks? Let us know what you think about this subject in the comments section below.
Source: Markets and Prices Archives – Bitcoin News
4 bearish factors for Bitcoin this week
The Federal Reserve meeting scheduled on Wednesday may be hawkish for the dollar Bitcoin might give up some of its 2023 gains on a hawkish Fed All eyes are on the Fed’s view on inflation, growth, future interest rates, and quantitative tightening The Federal Reserve’s monetary policy decision is scheduled this week. It is the […]
- The Federal Reserve meeting scheduled on Wednesday may be hawkish for the dollar
- Bitcoin might give up some of its 2023 gains on a hawkish Fed
- All eyes are on the Fed’s view on inflation, growth, future interest rates, and quantitative tightening
The Federal Reserve’s monetary policy decision is scheduled this week. It is the first time the FOMC (Federal Open Market Committee) meets in 2023, and the stakes are high for the US dollar.
Bitcoin has strengthened against the US dollar in January so far, in sync with other fiat currencies. Therefore, whatever the Fed decides on Wednesday will affect Bitcoin price too.
A hawkish Fed may turn up being bearish for Bitcoin. These are the four areas where the Fed may express its hawkishness: inflation outlook, growth outlook, interest rates level, and quantitative tightening.
The Fed is committed to bringing inflation to its 2% target. This is why it has raised rates so aggressively, so if the Fed says that inflation is embedded and upside risks remain, then the US dollar should move higher.
In this scenario, the market will bet that the Fed sees ongoing rate hikes as appropriate.
The currency stance is that a sustained period of below-trend growth is likely. If the Fed changed its view and sees recession required to have a material impact on the inflation outlook, that would also trigger a sharp move higher in the dollar.
Ultimately, it is all about the interest rate level. The funds rate range has reached 4.25%-4.50%, and all eyes are on what the Fed does and says on Wednesday.
The base case scenario is that the Fed will hike by 25bp and says that ongoing interest rate increases are appropriate. Therefore, anything more than that should be bullish for the dollar and bearish for Bitcoin.
For example, the Fed might hike 50bp. This is a risk going into the meeting, especially considering that inflation is not backing down as fast as initially thought.
The Fed currently shrinks the balance sheet at a pace of $95 billion/month. A decision to accelerate the balance sheet reduction would be very hawkish for the dollar.
The post 4 bearish factors for Bitcoin this week appeared first on CoinJournal.
Source: CoinJournal: Latest Bitcoin, Ethereum & Crypto News