FTX Token, BNB and Solana soar after Binance CEO inks potential deal to acquire FTX


FTX Token (FTT) and Solana’s SOL (SOL) endured a troublesome weekend of buying and selling that noticed altcoins take double-digit losses within the 15%–30% vary, however the tide turned as information broke that Binance could be in the process of acquiring FTX.

On Nov. 8, FTX CEO Sam Bankman-Fried first took to Twitter to announce a liquidity-sharing partnership with Binance. Changpeng “CZ” Zhao, CEO of Binance, agreed to step in and supply liquidity to what was starting to seem like a financial institution run. Bankman-Fried billed the event as user-focused and benefiting the whole trade.

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CZ additionally confirmed that Binance would step in to help FTX with its liquidity crunch, with the CEO tweeting a letter of intent to buy FTX.

Since Nov. 7, FTX has been experiencing liquidity issues after information broke surrounding Alameda Analysis’s odd-looking books. As FTX was combating off withdrawals from their change, even freezing withdrawals at one level, Binance introduced it might promote the whole FTT allocation it possessed.

FTT 4-hour chart. Supply: TradingView

Throughout the disagreement between exchanges, FTT value dropped 38.7% from $25.71 to $15.76, and SOL value fell 31.23% to a five-month low at $25. After information of a possible settlement between FTX and Binance, FTT value bounced greater than 20%, but it surely nonetheless trades nicely under what had been long-time assist at $22.

SOL 4-hour chart. Supply: TradingView

The value of BNB (BNB) has additionally suffered over the previous few days, dropping by 14%, however the information of Binance agreeing to amass FTX was adopted by the change token staging a 25% rally throughout the hour.

BNB value index. Supply: Cointelegraph

Associated: Bitcoin price swings over $20K as Binance helps FTX ‘liquidity crunch’

Whereas the story is growing and lots of unknown variables remain, the broader crypto market has reacted positively to the information. Bitcoin (BTC) briefly rallied over $20,000 earlier than slipping again into the $19,800 vary, whereas Ether (ETH) continues to commerce above $1,500.