Bitcoin Price Prediction- Is $18k Coming Back Today?

The previous couple of weeks have been very turbulent for the crypto trade with FTX, one of many largest crypto exchanges collapsing. This whole phenomenon didn’t simply have an effect on the costs of FTT, which is the platform’s native token however nearly each different crypto out there. Evidently, even high cryptos suffered a substantial amount of loss with the complete FTX phenomenon unfolding. Investors have been in search of a Bitcoin worth prediction too, so as to see how this has impacted the frontrunner crypto.

In truth, the costs of Bitcoin hit a brand new 23-month low on Wednesday whereas information surfaced that Binance may not purchase FTX. Consequently, this resulted in Bitcoin’s costs reaching a brand new low beneath the $17000 mark for the primary time since November 2020.

Fortunately, Bitcoin has a sturdy basis and is nonetheless the chief within the crypto world with none stable competitors. This made it simpler for the token to regain its value and cross the $17000 mark once more. But does this imply Bitcoin will attain the $18000 mark once more?

What Went Down With FTX?

FTX is referred to as one of many largest crypto exchanges out there out there with its native token, FTT. Things have been going nice for the FTX change initially of the yr to the extent that FTX’s CEO, Sam Bankman Fried, provided to purchase many exchanges going bankrupt on this bearish market.

However, this didn’t final lengthy after a information report highlighted extreme issues with FTX’s liquidity. The report said that FTX’s buying and selling firm, Alameda Research, had a major asset holding of FTT tokens. This meant liquidating these tokens could be nearly not possible with out shutting down the corporate.

This grew to become a serious concern for FTX prospects as the corporate had taken numerous loans with Alameda’s property as collateral.

Following this improvement, Binance introduced that it could go on to liquidate all its FTT holdings. It is value mentioning that Binance is one of the vital buyers within the firm. So having your largest investor liquidating their property was not excellent news for FTX for apparent causes.                     

All these elements pushed merchants and buyers right into a panic mode, additional triggering a panic sell-off out there. People began withdrawing all their property from the change, considerably decreasing their buying and selling quantity.

Unfortunately, FTX didn’t do a lot to reassure their customers, however they solely made issues worse by stopping all withdrawal processing companies on the change. This made merchants and buyers worry that their favorite change may go bankrupt. Even worse, FTX CEO Sam Bankman-Fried did little or no to reassure their customers whereas all of those have been unfolding. The CEO tweeted on the matter later, however this was too little and too late to make any distinction.    

This went on for some time till one other announcement got here from Binance that they could be buying FTX. Soon Binance furnished a letter of intent that they wished to assist FTX and its customers with their liquidity crunches. The similar was then confirmed by the CEOs of each exchanges, who echoed comparable sentiments.

But sadly, Binance not too long ago modified its thoughts and is now pulling out of the deal. This was confirmed with an announcement that though Binance had the intention to save FTX and its customers, the liquidity points have been past anybody’s skill to assist. While all of those have been occurring, the costs of Bitcoin fell additional together with nearly each different crypto token out there.

Why Did Binance Scrap The FTX Takeover Deal?

When Binance introduced that it could be buying FTX, many merchants and buyers took a sigh of aid. But this peace didn’t final lengthy as Binance later said that it could not undergo with the deal.

As a results of company due diligence, in addition to the most recent information reviews concerning mishandled buyer funds and alleged US company investigations, we have now determined that we’ll not pursue the potential acquisition of https://t.co/FQ3MIG381f.

— Binance (@binance) November 9, 2022

The letter of intent that Binance signed earlier clarified that the corporate will want to do its due diligence earlier than finishing the deal. Upon due diligence, Binance got here throughout many points within the books of FTX. The change cited some extreme issues with FTX’s accounts, leaving them no different possibility however to scrap the deal altogether.

Many officers from Binance who selected to stay nameless described FTX’s books as a black gap. They additional added that there was no approach to make a distinction between the property and liabilities of the FTX change in addition to its subsidiary Alameda Research hedge fund.        

What’s Next For FTX And Its Users?

It is now very clear that FTX is in knee-deep bother. On Wednesday, the FTX CEO Sam Bankman-Fried requested buyers for a whopping $8 billion to cowl all of the withdrawal requests. However, the way in which issues are unfolding, it doesn’t seem like FTX will likely be in a position to purchase such an enormous sum of cash anytime quickly.          

The troubles are beginning to pile up, as US authorities are now in full swing to examine FTX. According to information reviews, authorities from the state of California and the federal authorities are now investigating how FTX dealt with its prospects’ deposits. Currently, there is nothing a lot FTX customers can do however wait and see how these occasions unfold with time.

Bitcoin Technical Analysis- Price Prediction

Of course, 2022 has not been a terrific yr for Bitcoin and the crypto trade. In truth, Bitcoin had not too long ago reached a brand new low going beneath the $16000 mark for the primary time in nearly two years.

However, Bitcoin is nonetheless one of the highly effective cryptos, which turns into evident with the rising costs of this token. Despite every thing occurring out there, the costs of Bitcoin are rising once more, and it not too long ago exceeded the $17000 mark once more earlier than going again down in worth. So, if issues go on because it is, probabilities are Bitcoin may attain the $18000 mark as soon as once more.

Choose Safety Over Volatility

The worth of Bitcoin has been growing not too long ago, however there is no certainty that this bullish pattern will proceed. In such conditions, taking calculated dangers with tokens nonetheless performing properly amidst the bearish sentiment is higher.

Tokens comparable to Dash2Trade (D2T) have carried out comparatively properly regardless of the complete disaster. Calvaria is a wonderful instance of not too long ago launched initiatives within the play to earn sphere giving new alternatives to merchants and buyers.

Finally, there is RobotEra with its native token, $TARO, which not too long ago raised a tough capital of $6,930,000. Naturally, in a scenario like this, it could take advantage of sense to spend money on choices like these, the place the initiatives are excessive in recognition in addition to fundamentals.

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