Bitcoin Fell 6% After Binance Hack, Fitch Ratings Says Market Structure Is Maturing

Odaily Report: Fitch Ratings stated that after Binance suffered a hack, Bitcoin fell about 6% within 10 hours of the initial related reports. The report said the incident involved approximately $6.3 billion in digital assets stolen across multiple blockchains, including about 18,270 BTC, worth about $1.5 billion at the time of the incident.

Fitch Ratings noted that Bitcoin's decline this time was smaller than during previous market shocks: a 35% single-day drop in the early days of the COVID-19 pandemic in 2020, a 14% decline after the FTX collapse in 2022, and a 21% decline after the Bitstamp hack in 2015. Over the same period, Bitcoin's daily trading volume rose 67% to $40.9 billion.

Fitch Ratings said the trading market structure is deeper and more diversified, reducing the market's reliance on a single exchange and helping support liquidity when individual platforms are disrupted. Binance co-founder and former CEO CZ called for industry unity and said the interconnected structure of the crypto market helps avoid systemic collapse.

Fitch Ratings also noted that cybersecurity vulnerabilities and operational disruptions remain major risks. (Bitcoin.com News)