Crypto Week Ahead: Binance Halts Spot Trading, BTC Liquidity Drops. What Investors Should Keep In Mind

Over the past seven days, Bitcoin (BTC) price achieved a high of $28,755.36.

The global crypto market has been seeing an upswing over the past few weeks. Slowly recovering from the global meltdown caused late last year by the FTX collapse, crypto prices have been on a steady path to recovery lately. As a new week of trading begins, here are certain factors and events that can help influence investors’ calls in the coming days.

Before we proceed further, readers should note that the overall crypto market and coin prices are extremely volatile in nature. There are no foolproof methods to ascertain how cryptocurrencies are expected to behave in the future. This article is aimed at helping investors stay on top of the current market scenarios and the biggest events that have already taken place as well as some upcoming occurrences that are worth noting. Investors are advised to do their own research before taking any call. 

Crypto Prices Over The Past Week

Last Monday (March 20), the overall crypto market cap stood at $1.15 trillion. Bitcoin (BTC) price stood at around $27,500, and Ethereum (ETH) price stood at around $1,700. 

A week later, the overall market cap managed to rise to $1.16 trillion, as per CoinMarketCap data. 

DeFi's total volume stands at $3.05 billion, at 9.26 percent of the total market 24-hour volume. In the case of stablecoins, the overall volume stands at $29.41 billion, at 89.32 percent of the total 24-hour market volume.

BTC dominance, at the time of writing, stands at 46.41 percent.

Over the past seven days, Bitcoin achieved a high of $28,755.36 (on March 22) and a low of $26,917.94 (March 23), showcasing a relatively stable state. 

Ethereum, on the other hand, saw a high of $1,839.58 (March 23) and a low of $1,718.65 (March 26), showing a stable movement as well.

Crypto Events To Note

Trouble has been brewing at Binance, the world’s largest crypto exchange in terms of trading volume. On Friday, CEO Changpeng Zhao tweeted that a bug was detected in the platform’s matching engine of trailing stop order, resulting in a temporary halt of deposits and withdrawals. 

The exchange has now ordered an internal probe to investigate the know-your-customer (KYC) bypassing rumours at the company, as per media reports. Employees were allegedly involved in helping Chinese customers bypass the KYC and pertaining security safety measures. A company spokesperson reportedly confirmed that anyone associated with them is “explicitly forbidden” from assisting any user in dodging the company policies and laws.

Furthermore, BTC liquidity has dropped to a 10-month low, as per the latest Kaiko data. The primary reason behind this could be attributed to the shutdown of Silvergate’s SEN and Signature’s Signet transfer networks. 

Lastly, US prosecutors have arrested Do Kwon, the cryptocurrency entrepreneur behind the crash of two digital currencies (TerraUSD and LUNA) that lost over $40 billion last year, and charged him with fraud.

Kwon, the wanted co-founder of Terraform Labs behind a multibillion-dollar crash of the firm's cryptocurrency last year, was arrested in Montenegro in the US.

On March 31, NFT-based game Katana Inu is set to launch its closed beta. It can be expected that the KATA coin, currently priced at $0.000599, might see a boost in price on Friday. 

Disclaimer: Crypto products and NFTs are unregulated and can be highly risky. There may be no regulatory recourse for any loss from such transactions. Cryptocurrency is not a legal tender and is subject to market risks. Readers are advised to seek expert advice and read offer document(s) along with related important literature on the subject carefully before making any kind of investment whatsoever. Cryptocurrency market predictions are speculative and any investment made shall be at the sole cost and risk of the readers.