The second FTX repayment round (May 30) introduces potential selling pressure as creditors receive digital asset distributions. Market makers are preparing for possible volatility, particularly in SOL and other altcoins that comprised significant portions of FTX’s asset portfolio. The event tests crypto markets’ capacity to absorb large, predictable sell flows without destabilizing prices.
Previous repayment rounds saw coordinated OTC settlements to minimize market impact, but the scale of remaining distributions remains unclear. Analysts warn that simultaneous selling from multiple creditors could temporarily depress prices, creating arbitrage opportunities for institutional traders. The situation highlights crypto markets’ maturation in handling bankruptcy-related liquidations.
Long-term implications include potential shifts in creditor rights precedents and improved bankruptcy management frameworks for exchanges. Some market participants view successful absorption of FTX-related selling as a bullish stress test, while others caution it may reveal lingering fragility in altcoin liquidity pools.
