Data from the last week showed that, on average, 172,700 BTC units were withdrawn in the last month from crypto exchange platforms into the portfolios of investors of nearly all sizes, eclipsing the previous peak set after the June 2022 sell-off.
Likewise, total confirmed transactions experienced a rebound in the last two weeks, after reaching a multi-month high of 246,000 confirmed transactions per day, according to data from Glassnode, a company dedicated to the analysis of data and metrics in blockchain.
Of this total, around 29.2% were exchange related withdrawal transfers (77,100 withdrawals) and 18.2% were exchange deposit transfers (48.1k deposits).
In that sense, the dominance of exchange deposit or withdrawal transactions has been related to “high volatility liquidation events,” Glassnode noted in its latest weekly report.
The crisis of withdrawals of funds and the subsequent bankruptcy of FTX on November 8 unleashed a domino effect among numerous crypto companies that had FTX as a creditor or liquidity provider.
Speculation in the market about whether the fall of FTX is only the beginning of a domino effect that drags down other companies that provide funds or operators of derivatives in the crypto industry has been the trigger for the collapse in the market.
In total, the crypto market capitalization reached US$729 billion this afternoon, the lowest level since December 2020 and 75% below the record of US$3 trillion that it had reached just a year ago, in November 2021. .
Source: Ambito
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