As Huobi Token (HT) begins to contend with the turmoil occurring inside the Huobi cryptocurrency exchange, it seems to be in a precarious position.
According to tracking from Coingecko, the cryptocurrency's trading price increased by 3.2% during the past 24 hours to trade at $4.72 at the time of this writing, but the piece of data is still having trouble making up some of its recent losses.
HT has lost 6.4% and 11.3% of its value during the last seven and fourteen days, respectively, and several of its technical indicators indicate that it is about to have another catastrophe.
Due to its oversold state, the altcoin is now more vulnerable to a large price drop that may occur within the next several days.
HT suffers as Huobi Notches Huge Outflow
DeFiLlama, a decentralized data aggregator for the finance industry, recently announced on Twitter that Huobi exchange saw a significant capital outflow of approximately $75 million during the previous 24 hours.
The information source mentioned that on December 15, 2022, the business had received almost $87 million in new cash.
However, the exchange was unable to maintain this level of performance, and it ultimately lost more than $204 million, including the $75 million that was accumulated over the previous 24 hours.
Huobi Token has obviously been impacted by this large fall, which may be caused in part by speculations that the business is having financial difficulties.
For instance, there were unsubstantiated rumors that some company bosses were pressuring some of their staff to accept payment in cryptocurrency.
Furthermore, according to Reuters, Huobi would lay off 20% of its workforce. The company is going through structural changes, said corporate director and TRON founder Justin Sun.
Huobi is the third major cryptocurrency company in the same days to announce a headcount reduction, following a challenging 2022 in which several huge businesses failed and the value of assets like bitcoin fell. American bank Silvergate, which specializes in cryptocurrencies, stated on Thursday that it will terminate almost 40% of its staff, while technology platform lender Genesis said it will fire 30%.
As a reminder, WikiBit is ready to help you search the qualifications and reputation of projects in a bid to protect you from hidden dangers in this risky industry!
iOS: t.ly/UUCj
Android: t.ly/cfYt