Featured image from Forkast News, chart from Tradingview.com<\/div>\n","protected":false},"excerpt":{"rendered":"
In its most recent research newsletter, crypto research firm Kaiko alluded to an \u2018Alameda Gap,\u2019 which has been massively impacting the Bitcoin and crypto market for some time now. However, that seems to be in the past, as Kaiko stated that the gap no longer exists.\u00a0 What The Alameda Gap Is About According to the report, the \u2018Alameda Gap\u2019 is the gap in liquidity that existed after the collapse of the collapse of the defunct crypto exchange FTX and its sister company Alameda Research. Alameda was one of the most prominent market makers then and provided massive liquidity to the market.\u00a0 Related Reading: Is Ripple Behind The XRP Price Crash? Massive Selling Spree Sparks Concern Following Alameda\u2019s collapse, this liquidity gap is said to have persisted as market makers \u201cwaited on the sidelines for sentiment and trading activity to recover.\u201d Now, the market looks to have moved past this, as Kaiko revealed that, as of last week, the market depth has almost fully recovered and is back to its pre-FTX average.\u00a0 The research firm added that the Bitcoin 2% market depth is up 40% year-to-date (YTD) and briefly surpassed its pre-FTX average of $470 million. This increase is said to have been mainly due to the surge in Bitcoin\u2019s price, which has risen faster than the market liquidity since the SEC approved the Spot Bitcoin ETFs in January.\u00a0 Bitcoin is up about 50% YTD and has already hit new highs since the beginning of the year, including a new all-time high (ATH) of $73,750. Meanwhile, the improvement in liquidity is also evident in the fact that the cost of trading has declined on the three major US crypto exchanges: Coinbase, Kraken, and Bitstamp.\u00a0 How Bitcoin Is Outperforming Gold Kaiko also highlighted in its report that the Bitcoin-to-Gold ratio, which measures both assets\u2019 relative performance, is inching closer to its ATH, which it last hit in November 2021. Interestingly, this increase means that BTC is outperforming Gold, even though both assets have recorded ATHs these past few weeks.\u00a0 Related Reading: Solana Surpasses Ethereum In Major Metric Amid Surge Above $200 Furthermore, funds linked to these assets show how Bitcoin has outperformed Gold. Kaiko noted that Bitcoin ETFs have attracted $11 billion since they launched in early January. Meanwhile, the largest physically-backed Gold ETFs (SPDR Gold Shares (GLD) and iShares Gold Trust (IAU) have registered outflows during the same period.\u00a0 Kaiko suggested that this could mean that investors were moving towards Bitcoin as the \u201cnew global store of value.\u201d Interestingly, the CEO of Jan3 and Bitcoiner, Samson Mow, while giving reasons why Bitcoin will hit $1 million, also mentioned that people will start demonetizing Gold and substitute it for BTC at some point.\u00a0\u00a0 BTC price falls to $62,700 | Source: BTCUSD on Tradingview.com Featured image from Forkast News, chart from Tradingview.com<\/p>\n","protected":false},"author":594,"featured_media":598658,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[3],"tags":[87403,84030,428,91884,656,679,1119,89185,1122,1144,78790,6664,14690],"class_list":["post-598653","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news","tag-alameda","tag-alameda-research","tag-bitcoin","tag-bitcoin-gap","tag-bitcoin-news","tag-bitcoin-price","tag-btc","tag-btc-news","tag-btc-price","tag-btcusd","tag-btcusdt","tag-crypto","tag-crypto-news"],"acf":[],"yoast_head":"\n
Crypto Report Says 'Alameda Gap' Is Gone After Bitcoin Rally, What This Means<\/title>\n \n \n \n \n \n \n \n \n \n \n \n \n \n\t \n\t \n\t \n \n \n \n \n \n\t \n\t \n\t \n