FTX’s asset shake up: Impending sales of UNI, LDO raise questions
- FTX/Almeda recently moved UNI and LDO worth millions of dollars to two exchanges.
- UNI and LDO both suffered price declines but saw a little respite.
FTX has been shaking up the market lately by selling off some of its holdings. According to a recent report, among the assets sold by the defunct exchange were Uniswap [UNI] and Lido [LDO]. Did this recent shift have any impact on the trajectory of these assets?
Read Uniswap (UNI) Price Prediction 2023-24
FTX move Uniswap and Lido to exchanges
As per data tracked on Etherscan, the exchange shifted 488,250 UNI tokens, valued at approximately $2 million. Additionally, it moved 1,097,482 LDO tokens, which were also estimated to be worth nearly $2 million.
This move by the embattled crypto exchange followed a court approval on 13 September. During a court hearing, Judge John Dorsey sanctioned a motion allowing the financially distressed exchange to liquidate, stake, and hedge its cryptocurrency assets.
The assets were appraised at over $3.4 billion. Notably, this recent transfer was in addition to a prior report. The report indicated that the defunct exchange had also transferred other cryptocurrency assets to the Binance exchange.
How Uniswap has fared in the face of the FTX’s impending sales
Examining the daily timeframe chart revealed a recent downtrend in the value of Uniswap over the past few days. It’s possible that the FTX asset sales played a role in this decline, with UNI shedding over 2% on 27 October.
However, it’s worth noting that the Uniswap Foundation’s decision to initiate a sell-off may have also played a part.
As of this writing, UNI appeared to be experiencing a modest recovery from its recent decline. It was trading at a price that had risen by just over 1%, reaching approximately $4.
However, this recent upturn wasn’t sufficient to transition UNI into a bullish trend, as suggested by its Relative Strength Index (RSI).
The trend of Lido in light of the recent move
The daily timeframe chart for Lido indicated a remarkable upward trajectory in contrast to UNI. However, a minor setback of 1.12% was observed on 26 October. This was followed by a more significant decline of almost 2% on 27 October.
Notably, this substantial drop, occurring after a series of positive trends, coincided with FTX’s asset movement. This suggested a potential adverse influence on Lido’s performance.
How much are 1,10,100 LDOs worth today
As of this update, much like UNI, LDO has also shown some relief from its previous price decline. The chart indicated a modest gain of less than 1%, with LDO trading at approximately $1.8.
However, unlike UNI, LDO was still firmly entrenched in a very strong bullish trend according to its Relative Strength Index (RSI).