Key Points:
- Facing accusations of selling, the CZ executive said Binance did not sell any BTC or BNB.
- The CEO of analytics tool CryptoQuant also concurred that it is difficult to confirm that Binance is liquidating.
- However, amid the price storm, many people believe that Binance is liquidating BTC to avoid a BNB liquidation at $200.
Binance CEO Changpeng Zhao (CZ) tweeted that Binance is not selling Bitcoin or BNB amid the liquidation allegations.
Today, allegations surfaced that Binance and CZ were selling spot Bitcoin at an alarming rate, in order to protect the $220 BNB liquidation pool as spot Bitcoin sold off.
“Can confirm this is true,
Looks like BTC is being sold off for USDT reserves
USDT reserves are being pumped into BNB aggressively since 27th May
BNB is being sold off for BUSD to suppress volatility in BTC
BUSD is pumped into BTC to suppress downside volatility so BTC can be swapped out for USDT
This is technical market manipulation, Binance is definitely up to something here to prevent BNB from crashing as well BTC.”
In light of these allegations, CEO Changpeng Zhao (CZ) received and said that Binance is not selling BTC or BNB, while it is holding a large amount of the crypto exchange’s FTT tokens. went bankrupt FTX.
Agreeing with this opinion is the founder and CEO Ki Young Ju of on-chain data analysis tool CryptoQuant. He thinks that it is impossible to be sure that it is CZ and will prioritize the BNB-pegged BTC reward exchange option for the ecosystem.
“Not a BNB fan, but hard to say he’s selling with these clues tho. If I were CZ, I’d prioritize #Bitcoin into BNB-pegged BTC for the ecosystem. I don’t see any significant redeeming activities for now.”
However, this doesn’t seem to stop the community’s speculation as when spot Bitcoin was sold off, BNB was bought, which protected the $220 liquidation and this in turn limited Bitcoin’s upside potential.
BTC price yesterday evening had a slight recovery after receiving positive news about the CPI report that met expectations, causing the Fed’s interest rate hike policy to cool down. But then the price quickly corrected down from $26,300 to $25,700.
According to DefiLlama estimates, this loan will be liquidated when BNB reaches a price of about $219.32, equivalent to $200 million of BNB sold on the market. Currently BNB is trading at $249, up 9% over the past 24 hours.
DISCLAIMER: The information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.
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Source: https://news.coincu.com/194970-cz-affirms-binance-not-selling-btc-bnb/