The cryptocurrency market is currently 'bathed in blood' by experiencing a drastic fall following the tragic events caused by the crisis of the crypto exchange company FTX.
In fact, FTX's liquidity problems have caused Alameda Research's website founded by Sam Bankman-Fried to go dark with Binance planning to buy the company as well.
That streak, the crypto market is likely to fall deeper if the issue regarding FTX liquidity is not resolved as soon as possible.
Tighter regulation and increasing legal problems related to digital assets also resulted in the crypto market having to overcome various obstacles for its price to bounce back.
Meanwhile, Binance announcing that it will buy FTX has caused the crypto price to plummet drastically and the market has seen a number of major losses in the past 24 hours. However, recent reports indicate that Binance is withdrawing that intention after examining the financials of the troubled FTX company.
In fact, the impact of the price drop has wiped out more than $100 billion in value from the digital asset while the market capitalization is now down to $832 billion compared to 24 hours ago at $935 billion.
It was further clarified that Binance's intention not to continue the purchase of FTX is due to the fact that FTX's financial reports are not encouraging and this is seen as a difficulty for FTX to be saved.
FTX is expected to suffer a severe fall as well as the crypto ecosystem taking a hit if Binance decides not to buy the company.
As of this writing, Solana (SOL) is the crypto that has reacted the most sharply with a trade at $13.79 in the last 24 hours while the FTT token is at $1.91.
