Three years have passed since the exchange of cryptocurrencies FTX collapsed in 2022, taking billions of dollars with it in the deposits of investors and creditor. Over the past few years, bankruptcy proceedings have been approaching the end, and creditors have received a repayment plan. Now that repayment has begun, it is expected that another repayment tranza worth a billion dollars will be paid to creditors, and this may affect the market.
Why FTX cryptocurrency payments can affect
Axel cryptographic analyst got to X (previously Twitter) disclose Crucial development on the cryptographic market. This time it is that the exchange of FTX cryptocurrencies is going to process payments of $ 5 billion back to creditors at the end of the month. More importantly, these payments are to be made in Stablecouins.
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The meaning of this is the fact that, unlike previous payments, Stablecoin payments mean that there is nothing to drop on the market. Either this money turns back to the market. However, the pump would depend on the narrative about where these funds would end after distribution.
The distributions are expected to come out on May 30, which may exert a lot of pressure on the purchase on the market. As the cryptographic analyst explains, the time of this distribution could not be better. The reason for this is that the price of bitcoins still rises close to the ups of all time and The price of ethereum is still growing.
Given the separation of $ 5 billion, the cryptographic analyst does not expect investors to leave funds simply idle in their wallets. In addition, they do not intend to withdraw their funds and leave. This is because they are investors who are already accustomed to the market. So it is likely that they would end up on the market.
“Most of them remained in the crypto despite the FTX outbreak, now they regain their bags and turn the liquidity back to the market,” explained Axel. If these investors end up on the market, it is expected to launch a rally on the market.
The cryptographic analyst also revealed goals on the market if this rotation occurs. For Bitcoin priceThe expectations are that this flow of liquidity will augment the leading cryptocurrency above 120,000 USD. It is expected that this growth will cause the next Altcoin season. “Eyes May 30,” said the cryptographic analyst. “I feel like the beginning of the next leg.”
A distinguished picture from Dall.e, chart from tradingview.com
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