The announcement by the supervisory firm Mazars that it has terminated its cooperation with the crypto exchange Binance had a stronger impact than expected. As a result Binance Coin The recent drop in the (BNB) price has increased the pressure of short selling in the community.
As we have reported as Koinfinans.com, the fact that the FED will increase interest rates in 2023 has also increased the pressure in the crypto market. Things are not going well for BNB when the FED’s statement is added to the fear that arose in Binance.
What’s Happening on Binance Front?
leading stock market Binance, made an agreement with Mazars Group to increase transparency in its statement. As a matter of fact, the leading audit firm terminated the agreement by citing the problems and pressure in the sector.
After the FTX collapse, many customers began to question Binance’s transparency. The triggered fear and uncertainty caused a drop in the local token BNB price. The stock market has yet to take a concrete stance in the face of these reactions. Having previously announced the ‘proof of reserve’ consensus, the exchange obviously has to do much more than that.
Is BNB Living a Short Squeeze?
Twitter user Caeser has detected a ‘short position’ worth $118,000,000 in BNB. According to Caeser, the uncertainty experienced by traders triggered a drop in price and short positions.
According to CoinMarketCap, Binance Coin (BNB) has gained 8% in the last 24 hours, but its performance in recent days has not been very good. After the large short positions opened, the upward pressure in the price seems to have broken the trend.
You can follow the current price action here.
Disclaimer: What is written here is not investment advice. Cryptocurrency investments are high-risk investments. Every investment decision is under the individual’s own responsibility. Finally, Koinfinans and the author of this content cannot be held responsible for personal investment decisions.