MARKETREGULATION

Another lawsuit against Binance, BNB erases gains since the beginning of the year, Coinbase also affected

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Another lawsuit against Binance, BNB erases gains since the beginning of the year, Coinbase also affected

The cryptocurrency market has been gradually weakening after the meme coin craze, and with no topics to hype, it is now facing a heavy blow from the SEC. BTC and ETH have respectively fallen below $26,000 and $1,900. Metaverse-related coins SAND and MANA have experienced the deepest declines, with BNB dropping over 9% in a single day, breaking through recent lows and erasing gains since January 10.

SEC Files Lawsuit Against Binance, Market Dips Again

In response to the SEC's lawsuit against Binance, several reports have been compiled:

  1. SEC accuses Binance Holdings and Zhao Changpeng of violating securities laws, BNB falls below recent lows, CZ responds 4

  2. Binance announcement: Disappointed with SEC lawsuit, will join U.S. industry players to oppose SEC's excessive interference

  3. SEC accuses Binance that BUSD is a security? Paxos and Binance profit from BUSD?

Bitcoin Falls Below $26,000

In the report regarding the SEC's accusation against Binance mentioned above, a total of 11 cryptocurrency projects were charged as unregistered securities, including:

  • BNB
  • BUSD
  • SOL
  • ADA
  • MATIC
  • FIL
  • ATOM
  • SAND
  • MANA
  • ALGO
  • AXS
  • COTI

PancakeSwap CAKE, closely related to Binance, also suffered a significant blow, with a drop of nearly 9%, approaching the previous low of $1.51 on May 26. Although PancakeSwap v3 was launched in April, the token price fell below $2 in May and continued to decline.

When CAKE had a price starting with "1" earlier, it was already in January 2021.

After the incident, BTC and ETH fell below $26,000 and $1,900 respectively. Metaverse-related tokens SAND and MANA experienced the deepest declines, while ALGO has been frequently mentioned in SEC accusations as an unregistered security recently, with relatively larger price drops.

The performance of tokens accused of being securities in the past 24 hours is as shown in the following chart:

BNB Falls Below Recent Lows, Coinbase Also Affected

Looking at the daily chart, Binance's platform token BNB fell more than 9% in a single day and dropped below recent lows, effectively erasing the gains since January 10 of this year.

In addition, Coinbase also saw a daily decline of 7.38%, with a price of $58.71, returning to late January levels.

BNB Daily Chart