What BUSD’s fallout means for Binance Coin’s [BNB] future
Binance Coin [BNB] , the exchange coin of the world’s largest cryptocurrency exchange, felt the repercussions of the NYDFS’ decision to halt further minting of Binance USD [BUSD] . According to Santiment, it was almost inevitable for BNB to be spared in the wake of the unfolding events. In its 13 February assessment, the on-chain platform pointed out the BNB hit its highest trading volume since December 2022.
How much are 1,10,100 BNBs worth today ?
Ordinarily, the volume describes the amount of transactions that pass through a network within an interval. The spike in this metric considers both transactions in losses and gains. But the action by investors would have mostly ended in taking responsibility for dumping the asset.
Source: Santiment
This was because BNB, at press time, had lost 7.34% of its value in the last 24 hours. A 108% increase within the same period, coupled with a 10.97% seven-day shred, would have surely left holders’ portfolios in the red.
This condition means that BNB could not curtail impending decline like it did when there was a massive FUD around Binance in December 2022.
As rightly confirmed by Binance’s CEO, CZ, on 13 February, BUSD’s market cap would continue to decrease because of the regulatory decision. Interestingly, the fall from its current seventh position might come faster than expected.
The reason for this projection was because of the actions of whales and sharks. Based on Santiment’s data, addresses holding 1000 to 10000000 BUSD have jointly dumped over $200 million worth of the stablecoin in the last 24 hours. BUSD’s projection to stop hovering around the $1 mark could have been vital to the decision.
As expected, this has happened with the likes of Tether [USDT] ,
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