{"id":510881,"date":"2022-11-16T19:34:19","date_gmt":"2022-11-16T16:34:19","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/bitcoin-price-dips-to-16-4k-over-genesis-woes-as-execs-defend-gbtc\/"},"modified":"2022-11-16T19:34:19","modified_gmt":"2022-11-16T16:34:19","slug":"bitcoin-price-dips-to-16-4k-over-genesis-woes-as-execs-defend-gbtc","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/bitcoin-price-dips-to-16-4k-over-genesis-woes-as-execs-defend-gbtc\/","title":{"rendered":"# Bitcoin price dips to $16.4K over Genesis woes as execs defend GBTC"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_85 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6a3f3f4e26f5e\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #dd3333;color:#dd3333\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #dd3333;color:#dd3333\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6a3f3f4e26f5e\" checked aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-1'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/buradabiliyorum.com\/en\/bitcoin-price-dips-to-16-4k-over-genesis-woes-as-execs-defend-gbtc\/#%E2%80%9D_Bitcoin_price_dips_to_164K_over_Genesis_woes_as_execs_defend_GBTC_%E2%80%9C\" >&#8221; Bitcoin price dips to $16.4K over Genesis woes as execs defend GBTC &#8220;<\/a><ul class='ez-toc-list-level-2' ><li class='ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/buradabiliyorum.com\/en\/bitcoin-price-dips-to-16-4k-over-genesis-woes-as-execs-defend-gbtc\/#Genesis_Trading_liquidity_%E2%80%9Cexceeded%E2%80%9D\" >Genesis Trading liquidity \u201cexceeded\u201d<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/buradabiliyorum.com\/en\/bitcoin-price-dips-to-16-4k-over-genesis-woes-as-execs-defend-gbtc\/#Old_coins_awaken_after_FTX_%E2%80%9Cblack_eye%E2%80%9D\" >Old coins awaken after FTX \u201cblack eye\u201d<\/a><\/li><\/ul><\/li><\/ul><\/nav><\/div>\n<h1><span class=\"ez-toc-section\" id=\"%E2%80%9D_Bitcoin_price_dips_to_164K_over_Genesis_woes_as_execs_defend_GBTC_%E2%80%9C\"><\/span>&#8221; Bitcoin price dips to $16.4K over Genesis woes as execs defend GBTC &#8220;<span class=\"ez-toc-section-end\"><\/span><\/h1>\n<div class=\"post-content\" data-v-887bb764>Bitcoin (BTC) fell to intraday lows after the Nov. 16 Wall Street open as the FTX scandal <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/download-scripts-themes-apps\/\" data-internallinksmanager029f6b8e52c=\"9\" title=\"Download Scripts &amp; Themes &amp; Apps\" target=\"_blank\" rel=\"noopener\">app<\/a>eared to claim another victim.<\/p>\n<figure><img decoding=\"async\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2022-11\/be8a096d-635d-4d74-bbf2-73057dc52fae.png\"><figcaption style=\"text-align: center;\"><em>BTC\/USD 1-hour candle chart (Bitstamp). Source: TradingView<\/em><\/figcaption><\/figure>\n<h2><span class=\"ez-toc-section\" id=\"Genesis_Trading_liquidity_%E2%80%9Cexceeded%E2%80%9D\"><\/span>Genesis Trading liquidity \u201cexceeded\u201d<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Data from Cointelegraph Markets Pro and <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.tradingview.com\/symbols\/BTCUSD\/?exchange=BINANCE\">TradingView<\/a> showed BTC\/USD trading around $16,400 at the time of writing.<\/p>\n<p>Downside had entered again for the pair amid <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/news\/\" data-internallinksmanager029f6b8e52c=\"2\" title=\"News\" target=\"_blank\" rel=\"noopener\">news<\/a> that Genesis Global Capital, the crypto lending arm of Genesis Trading, had paused withdrawals over liquidity problems.<\/p>\n<p>In a <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/watch-movies-tv-seriess\/\" data-internallinksmanager029f6b8e52c=\"8\" title=\"Watch Movies &amp; TV Series\" target=\"_blank\" rel=\"noopener\">series<\/a> of tweets on the day, Digital Currency Group (DCG), the parent company that counts Genesis Trading among its subsidiaries, directly\u00a0<a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/DCGco\/status\/1592868145286766592\">attributed<\/a> the decision to the FTX debacle.<\/p>\n<p>\u201cToday Genesis Global Capital, Genesis Trading\u2019s lending business, made the difficult decision to temporarily suspend redemptions and new loan originations,\u201d part of the thread stated.<\/p>\n<blockquote><p>\u201cThis decision was made in response to the extreme market dislocation and loss of industry confidence caused by the FTX implosion.\u201d<\/p><\/blockquote>\n<p>DCG added that its other operations were unaffected, these including Grayscale and its Grayscale Bitcoin Trust (GBTC), the industry\u2019s largest institutional investment vehicle.<\/p>\n<p>\u201cThe impact lies with the lending business at Genesis and does not affect Genesis\u2019s trading or custody businesses,\u201d the thread concluded. <\/p>\n<blockquote><p>\u201cImportantly, this temporary action has no impact on the business operations of DCG and our other wholly owned subsidiaries.\u201d<\/p><\/blockquote>\n<p>GBTC traded at a near-record discount to the Bitcoin spot price on the day, having broken below -40% in November, data from on-chain monitoring resource Coinglass <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.coinglass.com\/Grayscale\">confirmed<\/a>. Industry commentators were <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/Mtrl_Scientist\/status\/1592911427152777216\">concerned<\/a> about potential contagion spreading to the largest BTC holder.<\/p>\n<p>\u201cThe assets underlying $GBTC and all Grayscale products remain safe and secure, held in segregated wallets in deep cold storage by our custodian Coinbase,\u201d Grayscale <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/Grayscale\/status\/1592882147387330560\">stated<\/a> on the day.<\/p>\n<figure><img decoding=\"async\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2022-11\/67702058-4d1c-445d-8d6e-239e81dd3e91.png\"><figcaption style=\"text-align: center;\"><em>GBTC premium vs. asset holdings vs. BTC\/USD chart. Source: Coinglass<\/em><\/figcaption><\/figure>\n<p>The limited scope of the issues at Genesis thus allowed Bitcoin to avoid significant fresh losses. As Cointelegraph reported, multiple other industry businesses had already signaled that FTX exposure was placing them under financial strain.<\/p>\n<p>Genesis itself meanwhile said that its problems had begun thanks to the Terra and LUNA debacle and associated insolvency of trading firm Three Arrows Capital (3AC).<\/p>\n<p>\u201cThe default of 3AC negatively impacted the liquidity and duration profiles of our lending entity Genesis Global Capital. Since then, we have been de-risking the book and shoring up our liquidity profile and the quality of our collateral,\u201d part of its own <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/social-mediaa\/\" data-internallinksmanager029f6b8e52c=\"1\" title=\"Social Media\" target=\"_blank\" rel=\"noopener\">Twitter<\/a> thread <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/GenesisTrading\/status\/1592867198900768769\">read<\/a>.<\/p>\n<blockquote><p>\u201cHowever, FTX has created unprecedented market turmoil, resulting in abnormal withdrawal requests which have exceeded our current liquidity.\u201d<\/p><\/blockquote>\n<h2><span class=\"ez-toc-section\" id=\"Old_coins_awaken_after_FTX_%E2%80%9Cblack_eye%E2%80%9D\"><\/span>Old coins awaken after FTX \u201cblack eye\u201d<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Analyzing the ongoing impact on Bitcoin itself, on-chain analytics firm Glassnode avoided a sense of panic.<\/p>\n<p><strong><em>Related: Bitcoin miners send less BTC to exchanges since 2020 halving despite FTX<\/em><\/strong><\/p>\n<p>In the latest edition of its weekly newsletter, \u201cThe Week On-Chain,\u201d it <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/insights.glassnode.com\/the-week-onchain-week-46-2022\/\">described<\/a> the FTX event as a \u201creal black eye\u201d to the crypto industry.<\/p>\n<p>Among the indicators under assessment for the week was the average age of Bitcoin moved on-chain.<\/p>\n<p>At 90 days, this was 3x older than during September and October, but notably not a significant historical anomaly.<\/p>\n<p>\u201cThe uptick in older coins being spent is noteworthy, and is in line with peaks seen during previous capitulation sell-off events, and even the 2021 bull market profit taking,\u201d it wrote. <\/p>\n<blockquote><p>\u201cA sustained up-trend or elevated level of Dormancy may indicate a more widespread panic has taken root amongst the HODLer cohort.\u201d<\/p><\/blockquote>\n<figure><img decoding=\"async\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2022-11\/8ba2009a-37f4-443c-b435-5ef20a2bfb22.png\"><figcaption style=\"text-align: center;\"><em>Bitcoin weekly sum of revived supply annotated chart (screenshot). Source: Glassnode<\/em><\/figcaption><\/figure>\n<p>As Cointelegraph reported, the overall feeling in analytics circles remains one of \u201cwait and see,\u201d with the potential for a worsening of price action in the short term firmly on the radar.<\/p>\n<p class=\"post-content__disclaimer\">The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph.com. Every investment and trading move involves risk, you should conduct your own research when making a decision.\n<\/p>\n<p><template data-name=\"subscription_form\" data-type=\"markets_outlook\"><\/template><\/div>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<blockquote><p><strong><span style=\"color: #ff6600;\">If you liked the article, do not forget to share it with your friends. Follow us on\u00a0<span style=\"color: #ff0000;\"><a style=\"color: #ff0000;\" href=\"https:\/\/news.google.com\/publications\/CAAqBwgKMLG0nwswvr63Aw\" target=\"_blank\" rel=\"nofollow noopener noreferrer\">Google News<\/a><\/span>\u00a0too, click on the star and choose us from your favorites.<\/span><\/strong><\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\">For forums sites go to <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/forum.buradabiliyorum.com\/\" target=\"_blank\" rel=\"noopener\">Forum.BuradaBiliyorum.Com<\/a><\/span><\/strong>\n<\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\"><strong>If you want to read more News articles, you can visit our <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/en.buradabiliyorum.com\/general\/\" target=\"_blank\" rel=\"noopener\">General category.<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<p><span style=\"color: black;\"><a style=\"color: #ff9900;\" href=\"https:\/\/cointelegraph.com\/news\/bitcoin-price-dips-to-16-4k-over-genesis-woes-as-execs-defend-gbtc\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>&#8221; Bitcoin price dips to $16.4K over Genesis woes as execs defend GBTC &#8220; Bitcoin (BTC) fell to intraday lows after the Nov. 16 Wall Street open as the FTX scandal appeared to claim another victim. BTC\/USD 1-hour candle chart (Bitstamp). Source: TradingView Genesis Trading liquidity \u201cexceeded\u201d Data from Cointelegraph Markets Pro and TradingView showed&#8230;<\/p>\n","protected":false},"author":1,"featured_media":510882,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"https:\/\/images.cointelegraph.com\/images\/1200_aHR0cHM6Ly9zMy5jb2ludGVsZWdyYXBoLmNvbS91cGxvYWRzLzIwMjItMTEvNDg1MmI3NmEtNzhiYy00ZjVhLTljNzctNTZlNzRjNzZjNDQyLmpwZWc=.jpg","fifu_image_alt":"","footnotes":""},"categories":[1],"tags":[74862,74937,90192,82548,76550,73785],"class_list":["post-510881","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-general","tag-bitcoin","tag-bitcoin-price","tag-digital-currency-group","tag-gbtc","tag-grayscale","tag-markets"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/510881","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/comments?post=510881"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/510881\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/510882"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=510881"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=510881"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=510881"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}