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Hedge fund outlines four key points, stating that "BNB/BTC" has hit bottom.

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Hedge fund outlines four key points, stating that "BNB/BTC" has hit bottom.

The cryptocurrency hedge fund Ouroboros Capital has put forward four points, believing that the BNB against BTC has bottomed out and is currently in an excellent risk-reward position.

The following content is not investment advice, compiled from Ouroboros Capital's Twitter, for detailed information and discussions, please refer to the original link.

Ouroboros believes that the recent regulatory FUD is coming to an end, and Binance and its founder Zhao Changpeng CZ have repeatedly demonstrated how to move forward against the wind and become stronger, which will be the case this time as well.

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It points out signs that the BNB/BTC trading pair has bottomed out on the daily chart.

BNB/BTC Daily Chart

Ouroboros mentioned several bullish factors beyond the chart.

1. All Binance Pegged Tokens are 100% Collateralized

You can verify on the Binance page that all Binance Bridge pegged tokens B-Tokens are backed by 100% reserve assets.

2. FTX Collapse, Binance Market Share Rises Again

According to data from The Block, Binance's open interest in Bitcoin futures contracts has risen from around 30% before the FTX collapse to approximately 38% currently.

3. Progress of BNB Chain

The daily active users (DAU) on the BNB Chain continue to grow. Data from Token Terminal shows that BNB Chain has the highest number of daily active users among protocols, more than double that of Ethereum, with a 17% growth in the past 30 days.

Furthermore, the 30-day growth rate of BNB Chain has already surpassed the total DAU of Arbitrum.

Ouroboros also emphasizes close communication with many projects developing on BNB Chain, including Radiant Capital, Wombat Exchange, Quoll Finance, KTX, and others. BNB Chain is a public chain that caters to both developers and users.

4. BNB Greenfield Undervalued

Ouroboros believes that the recently launched decentralized storage infrastructure, BNB Greenfield, is undervalued by the market. This equates to introducing BNB into vertical areas such as decentralized storage and AWS cloud services.

If Greenfield performs well in the future, it will bring higher valuation to BNB.

Ouroboros considers the BNB/BTC pair to be in an excellent risk-reward position currently, with a potential return to its previous high of 46%. In case the exchange rate falls below the 2021 high, they will reduce holdings for reassessment, but will only incur a 10% loss.