Many traders fear that the FTX scandal is not marginal with the group’s related companies involved in ties with other companies in the sector.
Indeed, in recent hours, eyes have been on Grayscale, the largest cryptocurrency investment company, which has refused to publicly share information about evidence of hedging reserves held.
The justification about possible security risks does not convince traders who are concerned about the lack of transparency and possible full backing.
At the turn of the first business day of the week, red signs prevail. Only two green signs stand out among the blue chips, those of Litecoin (LTC) and Monero (XMR).
Monero, the first anonymous cryptocurrency launched in 2014 that guarantees total anonymity, continues to go against the grain by posting a daily rise of more than 4%, continuing the positive trend already achieved last week by closing with a 2% gain.
Litecoin, among the cryptocurrencies currently in existence for having been created in 2011 based on the Bitcoin protocol, also stands out in this period of turbulence by closing last week with a gain above 8%. It was the second-best week’s rise of the top 100 largest-capitalization cryptocurrencies, behind only TonCoin (TON) which rose 9% in seven days.
The week starts in the red for BTC, which is dangerously back below $16k in these hours, touching the lows of last Monday, 14 November, and one step away from the bottom of $15,630 touched on Thursday, 10 November, at the height of the most dramatic hours of the FTX bankruptcy officialization.
The weak price performance over the weekend just ended failed to bring prices back above $17k . For this reason, bearish strength remains prevalent advising against anticipating upward positions.
In these hours the price of ETH falls to the lowest levels since 9 November when prices reached $1,075 for the first time since last July.
The return below the $1,200 mark is a signal that increases fears of renewed bearish speculation.
Breaking the recent lows will project prices to June levels when ETH fell below $900 for the first time since January 2021.