Binance seems determined to abandon the FTX purchase process after seeing the company’s balance sheets, Bitcoin suffers.

This Wednesday, November 9, the price of Bitcoin -BTC- continued to fall and marks a new low of almost 2 years. Everything seems to be explained by the liquidity crisis that the cryptocurrency exchange FTX had and the actions of the CEO of Binance, Changpeng Zhao, for buying the company. Right now, the world’s most famous digital asset marks a 10.44% decline in the last 24 hours and places it in a price range below $17,000:

According to CoinDesk, Binance plans to put aside the process of buying FTX after seeing the balances of the exchange. On this, a source who did not want to be disclosed: “Binance’s non-binding letter of intent for the acquisition, announced on Tuesday (11/8) when FTX’s financial position appeared to be out of control, was contingent on Binance making the due diligence. Approximately half a day after the review process of FTX’s internal data and loan commitments has led Binance to lean heavily against completing the transaction.”

Given this scenario, Bob Iaccino, co-founder and chief market strategist at Path Trading Partners, was encouraged to comment that:

“I wouldn’t be surprised if Bitcoin went down to $9,000, which for me, as someone who got out of Bitcoin and is waiting to get back in, would actually be a positive.”

“I still think crypto is here to stay, but these things need to be cleaned up before you can make serious investments in the space, especially from a traditional financial perspective.”

Another exchange that falls, and the crypto market enters agony. 

The rivalry between Bankman-Fried and Zhao started from the beginning. In 2019, Binance invested in FTX, which at the time offered a derivatives exchange, later launching their own crypto derivatives themselves and becoming the leader in this market. After this, tensions were heightened as regulators increasingly viewed the two companies as different. Bankman-Fried was testifying in Congress, as Binance was said to be facing regulatory investigations around the world and emphasized that it is not based anywhere. 

This is what the CEO of Binance said before encountering the disastrous balance sheets of FTX