Crypto Crash, IDR 1.6 Quadrillion Disappears from the Cryptocurrency Market

Crypto market plummeted, affected by FTX conditions. (Photo; Doc. NewsBTC)

JAKARTA – The decline in Bitcoin prices triggered by heated market conditions between FTX and Binance in recent weeks has affected the crypto market. In the current situation, the condition of the crypto market is uncertain due to various problems that occur in the industry itself, including the FTX liquidity crisis.

Binance recently scrapped its planned acquisition of FTX. This has had a negative impact on the crypto market as a whole. After the announcement, the price of cryptocurrencies plunged even more.

Overall, the market saw huge crypto losses in the last 24 hours. According to CoinMarketCap statistics, more than $100 billion in value (equivalent to IDR 1.6 quadrillion) disappeared from the crypto market due to falling prices.

Compared to the total crypto market capitalization of 935 billion dollars in the last 24 hours, the current market cap is also declining and is in the range of 823 billion US dollars. That means this decline has wiped out about 112 billion US dollars in one day.

The crypto market has become volatile after reports suggested that Binance could potentially discontinue the deal for the acquisition of FTX. These doubts stem from poor results in Binance's internal assessment of FTX's financial condition.

The report says Binance is evaluating internal FTX data and loan agreements. If Binance doesn't proceed with acquiring FTX, the Sam Bankman-Fried exchange could be on track for "insolvency". This will be even more bearish for the crypto ecosystem as it could only worsen the cryptocurrency environment, according to Coingape.

Previously, FTX CEO Sam Bankman-Fried tried to reassure the company's consumers and investors by stating that "FTX is doing well." In fact, the statement suggests otherwise, following Binance's financial assessment of FTX.