Bitcoin rebounded last week. Bitcoin price is above $21,000 currently though there is widespread belief it will fall below $20,000. A glance at the daily chart reveals Bitcoin is trading sideways currently. However, the bulls have not overtaken bears and it remains to be seen if the bearish trend reverses this week.
Bitcoin is attempting to resume advancing today after a retracing down more than one percent on Sunday. While mixed US data last Friday showed consumer sentiment fell to the lowest level in its 45-year history and traders are uncertain whether a global recession is to be expected soon , a crypto hedge fund faces the risk of default as deadline to repay $670 million nears and a crypto exchange paused withdrawals citing “extreme market conditions”, at the same time Coinbase is launching first crypto derivatives product.
Three Arrows Capital, a crypto-focused hedge fund, has to meet a deadline on today to repay more than $670 million in loans or face default. Voyager Digital, a digital asset brokerage, reported last week that it had lent Three Arrows Capital 15,250 bitcoins and $350 million of the stablecoin USDC. entire outstanding loan by June 27, Monday. Voyager Digital said the entire outstanding loan was to be repaid by June 27, Monday but no money was returned. Voyager said that it “intends to pursue recovery from 3AC” and is talking to its advisors “regarding legal remedies available.”
Physical futures crypto exchange CoinFLEX announced it was pausing withdrawals citing “extreme market conditions” along with uncertainty around a certain counterparty which is not Three Arrows Capital or “any lending firm.” The exchange said it expects to resume withdrawals “in a better position as soon as possible.”
And while crypto market is in deep retreat as Bitcoin is down 54.09% year to date, Coinbase Derivatives Exchange, formerly known as FairX, is launching its first crypto derivatives product this month aimed at retail traders. The exchange stated its BIT futures contracts are smaller in size - 1/100th of the size of a Bitcoin, and require less upfront capital than traditional futures products. Initially, the BIT futures will be available for trading via several leading broker intermediaries, including retail brokers EdgeClear, Ironbeam, NinjaTrader, Optimus Futures, Stage 5, and Tradovate, and clearing firms ABN AMRO, ADMIS, Advantage Futures, ED&F Man, Ironbeam and Wedbush.
