It is worth noting that after the FTX incident, the market liquidity is gradually recovering. The bankruptcy of FTX and its affiliate Alameda once led to a significant decline in market liquidity, which is called the Alameda gap. However, after that, the market liquidity is gradually recovering. From the latest data, the gap has been completely bridged, and the liquidity level of US exchanges has exceeded the level before the collapse of FTX and entered a new stable stage.
Specifically, since the FTX incident, the market depth of 1% of Bitcoin, that is, the total amount of pending orders within the price range of 1% above and below the current market price, has gradually recovered from the low point and showed a trend of further expansion. Among them, Coinbase and Kraken, two exchanges, have shown very strong recovery and growth.
