Kaiko reports Alameda gap still exists
In a Nov. 6 report from Kaiko, a leading source of cryptocurrency market data, despite Bitcoin’s rally in October, the Alameda gap still exists one year after the FTX collapse. Data shows that market depth is still 55% below pre-FTX levels. Low volatility environment Although bitcoin has seen a 20% surge in October 2023, the Alameda gap, also defined as the sharp decline in order book liquidity evident after the collapse of FTX and its sister company Alameda Research — has continued. The Alameda Gap Persists | Source: Kaiko The 2% market depth for BTC, ETH and altcoins on centralized exchanges hovered at $800mn in data from last week, still well below pre-FTX levels. You might also like: Kaiko reports exchange de-listings at an all-time high While Kaiko likens this in part to the low volume and low volatility environment, which has kept advanced traders and liquidity providers away from the cryptocurrency market, the data provider also highlights there are also st...