FTX crisis worry investors, Bitcoin plunged

ByVoiceup Media

Nov 10, 2022

The worth of cryptocurrency is struggling, after the FTS crisis and the withdrawal drove a significant selloff in the cryptocurrency market. Mostly popular Bitcoin prices dropped by almost 2 percent the previous day, but it has risen by 1 per cent. 

Cryptocurrencies across the board are taking a massive hit with Bitcoin reaching a yearly low after the third-largest crypto exchange FTX Trading is reportedly experiencing a liquidity crisis and Binance reversed its decision to bail out the struggling platform.

Bitcoin plunged below the $16,000 mark on Thursday with other altcoins following suit. Some fear this could be the next Terra Luna Saga, causing many to lose their savings in this volatile industry.

The largest crypto exchange Binance said last week it planned to buy its rival, the non-US unit of FTX, because, according to Binance CEO Changpeng Zhao, (better known as CZ), FTX is experiencing a “significant liquidity crunch”. But on Wednesday, Binance said it had reversed its decision after looking into FTX.

“As a result of corporate due diligence, as well as the latest news reports regarding mishandled customer funds and alleged US agency investigations, we have decided that we will not pursue the potential acquisition of FTX.com,” read a statement from Binance seen by Euronews Next.

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