One-Year Anniversary of FTX "Disaster", Bitcoin and Ethereum Simultaneously Hit 2023 Highs
The cryptocurrency market, led by Bitcoin and Ethereum, has seen a strong surge in the past 24 hours, driven by optimism surrounding ETF prospects.
Cryptocurrency market volatility led by Bitcoin and Ethereum on November 10, 2023. Source: Coin360
Exactly one year after Binance announced the cancellation of the FTX acquisition deal upon recognizing the "unrecoverable" state of the exchange, which subsequently led to FTX's bankruptcy within a day, the cryptocurrency market has shown a robust comeback. Both Bitcoin (BTC) and Ethereum (ETH) have recorded new highs for 2023.
November 10 also marks two years since Bitcoin reached its ATH of $69,000, also driven by ETF prospects and the US inflation scenario.
As reported by Coin68, on November 9, Bitcoin surged from $34,800 to $37,972 on Binance following new developments regarding the approval prospects for Bitcoin spot ETFs by the U.S. Securities and Exchange Commission (SEC). This marked the highest price since early May 2022, before the LUNA-UST crash.
Bitcoin/USDT 1-hour chart on Binance at 09:15 AM on November 10, 2023
Bloomberg experts have indicated several signs suggesting that the SEC is preparing necessary procedures to approve ETFs, especially after recent legal setbacks with Grayscale. They also suggest a timeframe from November 9 to November 17 (US time) for the SEC to potentially approve all 12 Bitcoin spot ETF proposals submitted.
However, in the early hours of November 10, BTC underwent a significant correction, dropping from $37,900 to $35,600 before rebounding to around $36,600 at the time of writing. This adjustment also affected many other major altcoins.
In contrast, Ethereum (ETH) continued its upward trajectory without being dragged down by Bitcoin. The world's second-largest cryptocurrency set a new high of $2,132 on the morning of November 10, the highest price since April, coinciding with the upgrade of the Shanghai ETF withdrawal feature.
Ethereum/USDT 1-hour chart on Binance at 09:15 AM on November 10, 2023
As reported by Coin68, BlackRock early this morning submitted an application to establish an Ethereum spot ETF with the SEC, confirming previous rumors. While the likelihood of near-term approval is low, it demonstrates that ETH is trusted by major U.S. financial institutions no less than Bitcoin.
Notable among the growth of altcoins recently is FTT, the exchange coin of FTX. Despite the declaration of "shutting down" by the new management of FTX, FTT continues to be supported for trading on many other exchanges.
On November 9, SEC Chairman Gary Gensler commented on the possibility of another organization acquiring FTX and restoring its operations, causing FTT's price to double. The new management of FTX also acknowledged that they are considering acquisition proposals from undisclosed parties.
FTT/USDT 1-hour chart on Binance at 09:15 AM on November 10, 2023
Even more impressive is GAS, the fee token of the Neo (NEO) blockchain. From $5 at the end of October, NEO has grown nearly fivefold to $24, following the announcement that Neo will return and build a sidechain connected to Ethereum.
GAS/USDT 4-hour chart on Binance at 09:15 AM on November 10, 2023
In addition, liquid staking tokens such as Lido (LDO), RocketPool (RPL), and ssv.network (SSV) have also seen significant increases of over 20% due to Ethereum.
LDO/USDT 1-hour chart on Binance at 09:15 AM on November 10, 2023
In the past 24 hours, nearly $500 million in derivative positions were liquidated, predominantly in BTC and ETH, with the short ratio accounting for 55.18%. This marks the largest liquidation since the August 18 dump that brought Bitcoin to $25,100, totaling nearly $1 billion in liquidations.
Long-short liquidation data on the crypto market at 09:15 AM on November 10, 2023. Image: Coinglass
The total cryptocurrency market capitalization has now returned to $1.45 trillion, the highest since May 2022.
