The descent of Binance Coin (BNB) has given rise to worries about a potential significant liquidation occurring below the $210 mark.
The value of BNB has experienced a decline due to Binance’s troubles with SEPA transfers, leading to a substantial 32% loss since June.
As legal actions against Binance accumulate, the cryptocurrency realm is apprehensive about a recurrence of the FTX FTT token crash.
The pressure on the world’s largest cryptocurrency exchange, Binance, continues to escalate, reflecting in the performance of its native asset, Binance Coin (BNB).
The sustained downturn of BNB has raised suspicions of a potential broader liquidation event on the horizon.
Within the crypto community on social media, reactions to the ongoing drop in BNB prices have sparked theories that the exchange might resort to liquidating its Bitcoin holdings to maintain stability.
BNB, associated with Binance, Faces Further Setback Positive news for Binance has been increasingly scarce recently.
On August 21st, the exchange revealed restrictions on fiat withdrawals in Europe, attributing the issue to challenges linked with Single Euro Payments Area (SEPA) transfers.
Consequently, the valuation of its BNB token has endured an additional decline.
BNB, still holding the position of the fourth-largest cryptocurrency asset by market capitalization, has slumped an additional 3% in a single day.
This depreciation has pulled the asset below the $210 threshold for the first time since June 2022.
Moreover, BNB’s value has now receded by 32% since the Securities and Exchange Commission (SEC) filed a lawsuit against Binance and its CEO in June.
Analysts within the cryptocurrency industry are concerned about the possibility of a replication of the FTX FTT token crash in November, which set off a series of crises across the sector.
BNB has suffered a significant price decline in the past week. The downtrend has brought a Venus lending position from an October BNB exploit into focus.
Read moređŸ‘‡https://t.co/f7vij5YWp0— DailyCoin (@ReadDailyCoin) August 21, 2023
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