Recent market manipulation allegations against Binance are causing concerns among crypto investors. As the leading exchange giant pushes its BNB token forward, what impact will this have on the broader market?
Rumors about potential market manipulation by bnb are resurfacing. On-chain trackers indicate that the exchange might be generating fake trading volume to drive up the price of its own token, BNB.
Some analysts also claim that Binance is conducting massive sales of other assets, causing their prices to drop. This strategy is allegedly implemented to force liquidations among traders holding high-leverage long positions.
“It’s exhausting to watch Binance suppress the entire crypto market while pumping their Binance token to all-time highs,” analyst Dan Gambardello lamented on social media.
Despite these accusations, the entire cryptocurrency market is currently experiencing a period of consolidation. The global market capitalization has fallen to $3.83 trillion, representing a decrease of 1.25%.
Bitcoin has lost more than 10%, settling below $113,100, while Ethereum has fallen back to $4,270. Altcoins have followed suit, with notable decreases for XRP, Solana, and Cardano. Even Dogecoin and Tron have recorded declines.
In this tense environment, Binance has not been spared and has also slipped into the red at the time of writing.
In summary, despite allegations of manipulation, the crypto market as a whole is facing a consolidation period. Investors must therefore remain vigilant in the face of these tensions weighing on digital assets.
Especially with Jerome Powell’s speech this Friday around 4 PM UK time. Meanwhile, the Chinese “ghost month” is expected to have another adverse effect on cryptocurrencies. The coming hours will tell us more.
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Charles Ledoux is a Bitcoin and blockchain technology specialist. A graduate of the Crypto Academy, he has been a Bitcoin miner for over a year. He has written numerous masterclasses to educate newcomers to the industry and has authored over 2,000 articles on cryptocurrency. Now, he aims to share his passion for crypto through his articles for InvestX.
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