{"id":386277,"date":"2019-06-15T11:00:08","date_gmt":"2019-06-15T11:00:08","guid":{"rendered":"https:\/\/wncen.com\/?p=386277"},"modified":"2024-06-11T13:44:13","modified_gmt":"2024-06-11T13:44:13","slug":"bitcoin-price-jumps-above-8700-following-binance-us-closure","status":"publish","type":"post","link":"https:\/\/wncen.com\/news\/bitcoin-price-jumps-above-8700-following-binance-us-closure\/","title":{"rendered":"Bitcoin Price Jumps Above $8,700 following Binance US Closure"},"content":{"rendered":"

Bitcoin is becoming a hedging instrument<\/a> even against the rest of the cryptocurrency market.<\/p>\n

The largest cryptocurrency profited as much as 6 percent on Friday to close above $8,700. At the same time, other leading cryptocurrencies, such as Ethereum, Litecoin,\u00a0and EOS, trended in negative territory. The massive contrast between the bitcoin and the rest of the cryptocurrency market indicated a capital flight. Traders suggestively exchanged a bulk of altcoins for bitcoin as a safety measure against the latest Binance announcement.<\/p>\n

The Malta-based cryptocurrency exchange,\u00a0which accounted for the highest global cryptocurrency volume, announced on Friday that it is barring US customers from accessing its services. The announcement indicated that Binance would lose about 15 percent of its net monthly traffic, amounting to over 40 million customers. The firm’s sudden shutting down reportedly prompted the US customers to withdraw a large number of altcoins, which included Binance’s very own native token BNB coin.<\/p>\n

\"binance,<\/a>
Binance Coin (BNB) Dropped Close to 18% on Friday | Image Credits: TradingView.com<\/figcaption><\/figure>\n

The BNB price dropped by as much as 17 percent against the BTC on Friday.<\/p>\n

Bitcoin against Altcoin Liquidity Crisis<\/h2>\n

Alex Kr\u00fcger, a prominent market analyst, said today that Binance’s issues with its US customers are bullish for bitcoin. He cited Tether, the company behind the controversial stablecoin USDT, to explain the correlation of bitcoin with the rest of the altcoin market. In April 2019, the New York Attorney General\u2019s office on April 25 announced<\/a> that it had obtained a court order against Tether and its associate firm BitFinex for allegedly hiding $850 million loss from USDT investors.<\/p>\n

“Upcoming Binance’s issues with US residents = Bullish for BTC,” wrote Kr\u00fcger. “This was even clearer than with April’s Tether “FUD.” Speculators are supposed to act on meaningful news, not just theorize about it.”<\/p><\/blockquote>\n

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Upcomimg Binance's issues with US residents = Bullish for $BTC<\/a>. This was even clearer than with April's Tether "FUD". Speculators are supposed to act on meaningful news, not just theorize about it. https:\/\/t.co\/7bAfEOiXTW<\/a><\/p>\n

— Alex Kr\u00fcger (@krugermacro) June 14, 2019<\/a><\/p><\/blockquote>\n