CryptoSlate Wrapped Daily: Bitcoin hash ribbon points at miner capitulation as holders increase CryptoSlate Wrapped Daily: Bitcoin hash ribbon points at miner capitulation as holders increase
Bitcoin and Ethereum make up 91% of Bitfinex reserves, U.S. Senators want FTX executives to be held accountable for the FTX crash, and much more in this edition of CryptoSlate Wrapped Daily.
4 min read
Updated: Nov. 23, 2022 at 11:19 pm UTC
Cover art/illustration via CryptoSlate. Image includes combined content which may include AI-generated content.
The biggest news in the cryptoverse for Nov. 23 includes Bitcoin hash ribbon metric’s indication of an upcoming miner capitulation, on-chain data revealing investors taking advantage of the low prices, and Bitcoin and Ethereum consisting 91% of Bitfinex’s total reserves.
CryptoSlate Top Stories
BTC hash ribbon upcoming convergence signals miner capitulation
Bitcoin (BTC) miners have been selling at the most aggressive rate over the last two years, which indicates that the upcoming hash rate adjustment will be negative in the next epoch.
The Bitcoin hash ribbons are often used to identify price bottoms. When the hash ribbon signals an upcoming miner capitulation, the Bitcoin price falls.
Currently, the hash ribbon convergence signals that the end of this capitalization period is nearly over, and an upwards turn in the market is likely.
Bitcoin on-chain data shows a ray of light in a dark market
After the FTX collapse, Bitcoin has been struggling to recover to its bear market price of around $20,000. Especially over the weekend of 19-20 November, Bitcoin remained below $16,000.
While this may be a bearish price, it was seen as a major buying opportunity for many. On-chain data shows that the number of wallets that hold Bitcoin has been increasing while the number of addresses with non-zero balances is decreasing.
Bitfinex’s reserves are 91% Bitcoin, Ethereum
Crypto exchange Bitfinex’s reserves of Bitcoin and Ethereum (ETH) account for 91% of its total holdings. This percentage is 63% for Coinbase, 15% for Binance, and 52% for Crypto.com.
According to the exchanges’ proof of reserves, Bitfinex’s 91%-large Bitcoin and Ethereum reserves equate to 207,356.67967717 Bitcoins and 1,225.600 Ethereums.
U.S. Senators want justice department to hold FTX execs accountable for collapse
U.S. Senators Elizabeth Watten and Sheldon Whitehouse composed a letter to the U.S. Department of Justice (DOJ). They requested DOJ to hold FTX executives “accountable to the fullest extent of the law” of the FTX collapse.
U.S. Congressman defends decentralization, blames SBF, Gensler, CeFi for FTX collapse
U.S. Congressman Tom Emmer argued that the FTX collapse was a failure of centralized finance (CeFi), not a failure of crypto.
Emmer also said that the FTX founder Sam Bankman-Fried (SBF) and the U.S. Securities and Exchange Commission’s (SEC) chairman Gary Gensler also share the blame.
Referring to the relationship between the SEC and SBF, Emmer said that the SEC was working with SBF and gave him a special treatment that other exchanges weren’t getting.
Record quantities of Bitcoin leave exchanges in readiness for contagion fallout
Over the past 30 days, 136,882 Bitcoins were withdrawn from the exchanges, which equates to 0.7% of the total circulating supply.
the chart above also demonstrates massive Bitcoin outflows since 2016 and marks the current outflow levels as the highest. Even at the peak of the Terra (LUNA) crash contagion, around 120,000 Bitcoins had left exchanges.
Mango Market hacker’s attempt to exploit Aave fails
Mango Market’s exploiter Avraham Eisenberg transferred $40 million worth of USD Coin (USDC) into Aave (AAVE) with the purpose of borrowing Curve DAO Token (CRV) to short. This strategy is known as Eisenberg’s “highly profitable trading strategy,” which he previously exploited the Mango Market with.
First, he came for Mango, and I did not speak out, for I am not an investor
Then he came for USDT, and I did not speak out, for he did not pose a risk
Now, he tries to hunt the loan of one of the godfather's of DeFi and that's when the foot is put down to defend pic.twitter.com/feV78YPtq0
— Andrew Kang (@Rewkang) November 22, 2022
However, in the case of the CRV token, Eisenberg’s plan didn’t go accordingly as the community rallied behind the CRV token and caused it to spike 46% in the last 24 hours.
Hackers steal $42M from Fenbushi Capital founder’s wallet
Fenbushi Capital’s general partner Bo Shen was attacked by malicious actors, who stole $42 million from his personal wallet on Nov. 10.
Shen revealed the attack on Nov. 23 via his personal Twitter account. According to blockchain security firm Beosin, the hack resulted from a private key compromise.
Latest mining rigs amp up difficulty to zone out competition
Cyber security analyst Matt C drew attention to the growing pressure of the latest mining rigs upon previous generations of miners.
#Bitcoin mining profitability by @LuxorTechTeam says it all..
Antminer S19 XP is 3+ times superior to previous gens 💰
2022 Miners putting difficulty through the roof while trying to send competition out of business. pic.twitter.com/g5akp0RXjf— Matt C⚡️ (@mithcoons) November 23, 2022
Considering that hashing costs $0.07/kWh, Antminer S19XP emerges as the most profitable mining rig.
News from around the Cryptoverse
Genesis is meeting investors to get lending back up on its feet
Genesis CEO published a letter informing Genesis clients that the executive team is meeting with potential investors to come up with a solution to fix the illiquidity problem of the lending services. The letter said that Genesis is expecting to decide on a course of action in the coming days.
Apple to buy rights of book on SBF
Famous author Michael Lewis had spent six months with SBF before the exchange collapsed and will write a book that sheds light on SBF’s crypto empire. The book is expected to turn into a feature film, and Apple is close to inking a deal for the book rights with Lewis, according to MacRumors.
Onomy raises $10M to unite DeFi, Forex
Onomy protocol raised $10 million from investors like Bitfinex and Ava Labs during its private funding round. The protocol aims to converge DeFi and the Forex markets.
Crypto Market
In the last 24 hours, Bitcoin (BTC) increased by 2.73% to trade at $16.566, while Ethereum (ETH) spiked by 3.97% to trade at $1,172.
Biggest Gainers (24h)
- Solana (SOL): +19%
- Dash (DASH): +16.73%
- Litecoin (LTC) +14%
Biggest Losers (24h)
- Trust Wallet Token (TWT): -2.46%
- Axie Infinity (AXIS): -0.36%
- Gemini Dollar (GUSD): -0.24%
Mentioned in this article
Bitcoin 
Ethereum 
Terra 
USD Coin 
Aave 
Curve DAO Token 
Trust Wallet Token 
Axie Infinity 
Gemini Dollar 
Solana 
Dash 
Litecoin 
FTX 
Bitfinex 
Binance 
Coinbase 
Crypto.com 
Ava Labs 
Sam Bankman-Fried 
Gary Gensler Author 
Zeynep Geylan
Zeynep is an academic who turned to crypto in 2018. Originating in social sciences, she is especially interested in the social impact of blockchain and cryptocurrencies and strongly believes in their transmuting power.
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In this article
Bitcoin, a decentralized currency that defies the sway of central banks or administrators, transacts electronically, circumventing intermediaries via a peer-to-peer network.
Ethereum
$3,468.59
Ethereum is a decentralized, open-source blockchain platform that enables the creation of smart contracts and decentralized applications (DApps).
Terra
$0.43874
Terra (LUNA) is a public blockchain protocol that emerged from Terra Classic.
USD Coin
$1.00011
USD Coin (USDC) is a stablecoin fully backed by the US dollar and developed by the CENTRE consortium.
Aave
$329.499
Aave is an open source and non-custodial protocol enabling the creation of money markets.
Curve DAO Token
$0.91118
Curve DAO (Decentralized Autonomous Organization) is a decentralized platform built on the Ethereum blockchain that aims to provide a stable and efficient market for trading stablecoins.
Trust Wallet Token
$1.24618
Trust Wallet Token (TWT) is the official token of Trust Wallet, a user-friendly and versatile mobile cryptocurrency wallet that supports a wide range of assets across various blockchains.
Axie Infinity
$6.48524
Axie Infinity is a game about collecting and raising fantasy creatures called Axie, on Ethereum platform.
Gemini Dollar
$0.99878
Gemini dollar (GUSD) combines the creditworthiness and price stability of the U.S.
Solana
$194.991
Solana is a high-performance blockchain platform that utilizes a unique consensus algorithm called “Proof of History” to achieve fast transaction speeds and low fees.
Dash
$38.7299
Dash is a digital currency that enables anyone, anywhere in the world to make quick, easy and cheap payments at any time without going through a central authority.
Litecoin
$101.996
Litecoin is a peer-to-peer Internet currency that enables instant, near-zero cost payments to anyone in the world.
FTX
FTX is a defunct cryptocurrency exchange, currently in bankruptcy proceedings, that was founded by Sam Bankman-Fried and Zixiao “Gary” Wang in May 2019.
Bitfinex
Bitfinex is a digital asset trading platform offering state-of-the-art services for digital currency traders and global liquidity providers.
Binance
Binance is a global cryptocurrency exchange that provides a platform for trading more than 100 cryptocurrencies.
Coinbase
Coinbase is a digital currency exchange and wallet service that allows individuals to buy, sell, and store digital currencies, such as Bitcoin, Ethereum, and Litecoin.
Crypto.com
Crypto.com was founded in 2016 on a simple belief: it’s a basic human right for everyone to control their money, data and identity.
Ava Labs
Ava Labs makes it simple to launch decentralized finance applications on Avalanche, the fastest smart contracts platform in the blockchain industry.
Sam Bankman-Fried is the former CEO, and co-founder of defunct crypto exchange FTX and Alameda Research.
Gary Gensler is an American government official and former investment banker who President Joseph Biden nominated to chair the U.S.