Binance Coin (BNB) Faces Strong Headwinds Amid Crypto Crash

Sunil Sharma
August 22, 2023
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CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights to our readers. Our journal analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.
Breaking: Binance Converting $1 Bln In Industry Recovery Initiative To BTC, ETH, BNB

According to a recent market analyst report, Binance Coin (BNB) has experienced significant turmoil in the cryptocurrency markets. According to CryptoBusy, the coin saw a 13% drawdown after breaking down from a critical support level, coinciding with a market crash that swept through the industry last week. 

 

As the future of BNB hangs in the balance, the analyst wonders what steps Binance could take to enable its native asset to recover.

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US SEC Case Weighs Heavily on BNB Price

Following the announcement of the SEC’s case against Binance on June 5, BNB’s price went into a tailspin, shedding more than 30% of its value over the past year. The central entity behind the BNB token and BNB Chain development, Binance, is accused by the SEC of controlling and benefiting from unregistered security. 

The digital asset exchange, led by Changpeng Zhao (CZ), a self-proclaimed “holder of BNB and BTC,” has seen the price of BNB adversely affected by the negative news and the broader market crash. BNB, currently trading at $210.0, is sitting in the fourth position by market cap with $32 billion, per CoinMarketCap, registering 13% losses in the last week and 14% in the past 30 days.

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Customer Concerns Over Binance’s Service Disruptions

Adding to Binance’s woes, several users have recently reported on X (formerly known as Twitter) that they could not withdraw or deposit euros (EUR) from and to the cryptocurrency exchange platform. Binance’s customer support responded that the direct bank transfer for EUR was under maintenance and temporarily suspended. 

However, no timeline was provided for when this service would be restored. As an alternative, the support account advised users to use card deposits or withdrawals or explore other options such as credit card purchases or the peer-to-peer (P2P) platform.

Binance has not released official updates or statements, and the BNB token continues trading at yearly lows. The concerns regarding Binance’s financial health and the regulatory headwinds are placing additional pressure on the digital asset exchange and its native coin.

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Investment disclaimer: The content reflects the author’s personal views and current market conditions. Please conduct your own research before investing in cryptocurrencies, as neither the author nor the publication is responsible for any financial losses.
Ad Disclosure: This site may feature sponsored content and affiliate links. All advertisements are clearly labeled, and ad partners have no influence over our editorial content.

Why Trust CoinGape

CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights Read more…to our readers. Our journal analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.

About Author
About Author
Sunil is a serial entrepreneur and has been working in blockchain and cryptocurrency space for 2 years now. Previously he co-founded Govt. of India supported startup InThinks and is currently Chief Editor at Coingape and CEO at SquadX, a fintech startup. He has published more than 100 articles on cryptocurrency and blockchain and has assisted a number of ICO's in their success. He has co-designed blockchain development industrial training and has hosted many interviews in past. Follow him on X at @sharmasunil8114 and reach out to him at sunil (at) coingape.com
Investment disclaimer: The content reflects the author’s personal views and current market conditions. Please conduct your own research before investing in cryptocurrencies, as neither the author nor the publication is responsible for any financial losses.
Ad Disclosure: This site may feature sponsored content and affiliate links. All advertisements are clearly labeled, and ad partners have no influence over our editorial content.