3 Key Crypto Price Events to Watch Following the FTX and Alameda Debacle

FTX and Alameda's Ponzi-like trading scheme has dealt a blow to the entire crypto industry. Here are three developments to watch closely.

Until the start of this week, Bitcoin (BTC) had been showing record volatility, which gave altcoins enough leeway to paint some nice technical setups.

At the same time, on-chain data and technical analysis were starting to suggest that BTC was halfway to bottoming out, and many analysts believed better days were ahead.

Fast forward to the present, and the spike in volatility the market received actually turned out to be a black swan event.

As you already know, FTX is kaput.

Alameda's search is complete.

BlockFi has halted withdrawals, citing an inability to "operate as usual", so it is "suspending customer withdrawals as permitted by our terms", suggesting the company is also kaput.

The contagion is spreading, and the shrapnel from this Krakatoa-level event is sure to ripple throughout the crypto ecosystem.

Right now, it's hard to establish a short-term investment thesis for assets just by looking at the chart, and the best thing uncertain investors can do is stick to a proven plan or do nothing.

The most likely short-term outcome is that volatility will remain high and crypto prices will continue to seesaw for some time.

No one is comfortable focusing on potential negative outcomes ahead for the crypto industry and cryptocurrency prices, but it is every investor's responsibility to consider the worst outcomes absolutes and put in place a contingency plan.

That way you don't freak out when the shit really hits the fan.

Here are a few things to keep an eye on...