In this article, we'll talk about the disturbing plague on the world's leading Crypto Exchange by trading Volume, and also touch a bit on the reasons why the Bitcoin Rally is free of any Pullbacks. An information I think traders would fancy.

On the sixteenth day of October, Bitcoin surged from a price as low as $27k to as high as $30k on the news that the SEC approved BlackRock’s iShares Spot Bitcoin ETF. That's a massive $2000+ volume gain in a day. This rally came as a result of a circulating post made by @cointelegraph on their official X account even though they later went on to apologize for the misinformation and deleted the post after thirty minutes of posting. As expected Bitcoin quickly retraced back to $28k the same day, causing more than $100Million in long and short positions wiped out due to the high volatility, with hourly candles surging according to data from coinglass. Ever since then, Bitcoin went on to hit past the $32k price resistance and is currently trading around $43k at the time of writing. This Price rally has been fueled by the increasing sentiment around the market that the U.S is finally going to allow Exchange-Traded Funds(ETF), giving room for more retail and corporate investors to pour into the space. BlackRock Inc and Fidelity Investments are among those expecting a green light on their applications.

As interesting as this sounds, this isn't the talk of the day, it only introduced us to what we really want to look at today. As a result of the latest Bitcoin price rally that started a week after the outbreak of the fake news, precisely on the 23rd of last October till the date of writing, it happens some coins followed suit, and some others were left on the sidelines. One of those coins is $BNB from the world’s biggest exchange by trading volume, Binance. How true is this? Let's discuss.

Binance Coin Stuck at the $241 Resistance?

The last time the $BNB coin was trading below the resistance of the $241 area was this recent bear market we are just coming out of with a low of $183. However, this is the case yet again for the Binance coin even with the latest Bitcoin rally for the past several days even though it’s currently trading around $233 as at the time of writing. It's easy to blame this on the consistent regulatory fight it has seen over the months as they were the obvious target for the regulatory bodies and their fight for Crypto control ( I shared some light on this line in my last Binance post ). If you want to take over a territory, you have to take out the big guys first?

The main question lingers, is this just something that'll pass with time or is it really a plague that has come to stay with the Biggest Exchange in the world by trading volume? As we all know, Mr. Changpeng Zhao popularly known as ‘CZ’ stepped down from the CEO role of Binance as part of the settlements with the regulatory bodies (I also covered everything you need to know about this on my previous post on Binance). It is yet to be seen whether the new CEO, Richard Teng can fit into the same shoes CZ once wore.

Now you might say what else? Pure speculations? I'll show you some data that indicates my point in just a minute but before that, let's quickly take a look at this Bitcoin surge and the expected pullback that is seemingly not coming.

The Bitcoin Rally from $27k - $44k in Less than Two Months.

Bitcoin claimed the $40k price for the first time since April 2022 when the market took a U-turn from its upward trend, reaching as high as $69k on November 8th 2021. The bear market was confirmed when the $40k resistance was broken last April and ever since, the market has seen a low of $16k. For a while the price ranged from $26k-$29k and occasionally touched $30k - $31k while at it. We needed a break above the $32k levels to confirm any further movement to around $35k-$36k price regions for a little accumulation before the next leg up to the great resistance of $40k. Instead, the anticipation of an ETF approval pushed it beyond everything. As earlier explained, this Bitcoin rally is a result of the growing confidence of a Spot Bitcoin ETF being approved by January, so everyone is making sure they get a piece of the action while they still can. Why do I think so? I'll tell you.

This rally is seen to be Spot driven according to Options Data Tracker Greeks.live, taking to his official X account, he posted with data and I quote ;

“ The bull market has been a clearly spot-driven bull market, with all major derivatives data relatively flat, futures premiums holding around 10%, and options IVs not showing significant gains.

We have to put this rally and the news of the impending passage of the ETF in perspective; this spot bull market is very healthy, the downside is limited, and the bull market is here to stay. “

With this in mind, it's clear and understandable why we've not experienced any pullbacks as usual like other starts to the Bull Market cycles. Traders are still skeptical so as not to be caught in any liquidation but are provided strength from the Bitcoin Fear and Greed Index currently sitting at 72 according to data from Cointree, indicating Greed in the market as everyone is looking at getting Bitcoin for cheap. Now that you know a pull back is not expected anytime soon, I hope this information was helpful to you. Do as you please with it, trade with due diligence. Now let's get back to our earlier discussion on Binance.

Data Suggesting a Liquidity Winter for the Binance Coin.

According to data from investing.com, the liquidity inflow on the Binance coin has seen little or no liquidity at all as it has only recorded a 3.23% increase from the 23rd of October till the date of writing, while Bitcoin, on the other hand, has seen a significant 27.4% increase in the same time frame. Now you might say we shouldn't compare Bitcoin but altcoins, let's see some other coins that are below the $BNB coin by market cap with their respective data;

$XRP - 17.9%

$SOL - 107.9%

$DOGE - 37.3%

$FIL - 33.8% etc…

I can keep going but I'm sure by now you get my point. Some of these coins are farther away from the Binance coin in terms of Market Cap. Although money hasn’t necessarily been taken out, perhaps that’s an array of hope shining from the end of the tunnel.

Now the question everyone is waiting to be answered is this: What can the new CEO, Richard Teng do to change investors' view of the exchange as a target by the regulators? Until this is answered and the corresponding actions carried out, we’re yet to see any real change happen with the Binance coin as regards the incoming Bull cycle.

This is all for now, hopefully, the next news round-up won't be about the world's biggest exchange by trading volume. At least things can cool down from there. As always, your favorite Crypto Journalist, Clever Abaribote.

Writer and Editor: Clever Abaribote

Sources :

Data from Coinglass $100million wipe https://www.coinglass.com/LiquidationData

Post on X Greeks.live https://x.com/greekslive/status/1732231268878999919?s=46

Data from Cointree https://www.cointree.com/learn/crypto-fear-and-greed-index/

Data from Investing.com https://ng.investing.com/crypto/bnb/bnb-usd-historical-data