Cryptocurrencies had a difficult day as the market assessed further contagion and continued to grapple with the effects of the FTX catastrophe. Investors are still processing this week’s Federal Reserve meeting, which was the central bank’s last of the year.
The biggest news came from the cryptocurrency exchange, Binance. This week, users reported difficulties withdrawing funds from the platform. The largest cryptocurrency exchange in the world, Binance, was recently thought to be in serious jeopardy and was anticipated to see a similar meltdown to Terra or FTX. The site stopped allowing USDC transactions, which caused traders to panic and withdraw massive sums of money from the system. Meanwhile, the platform’s released Proof-of-Reserve report also has significant issues.
This caused a significant amount of FUD in the cryptocurrency market, which caused a decline of around 25% in just a few days. While the price has seen a little recovery, it is anticipated that a severe bearish trend will soon resume recreating a downfall similar to that of LUNA.
The current events in the crypto space have raised investor concerns about the future of BNB. If the platform experiences a similar meltdown to that of LUNA, will its price be halved? For instance, one analyst says BNB “has nothing but air below it,” amid the current market turmoil.
This caused a significant amount of FUD in the cryptocurrency market, which caused a decline of around 25% in just a few days. While the price has seen a little recovery, it is anticipated that a severe bearish trend will soon resume recreating a downfall similar to that of LUNA.
Cryptocurrencies plummet over the weekend
Bitcoin is trading at $16,763 while Ethereum is trading at $1,185.Binance coin is trading at $247.97 after breaking below the key support of $250.0.LUNA experienced the same fate after breaking multi-month support that saw the altcoin plummet to new lows.
A market analyst based on Twitter has warned investors of a potential “bloodbath” for the BNB crypto exchange coin. The expert here warns his 216.9K followers that the price of BNB may also drop sharply, similar to how LUNA plummeted at the time, after comparing the charts and the circumstances.
His evaluation is constructed on the traditional Elliot’s wave tenet, often utilized to recognize the imminent cost pattern by contemplating marketplace opinions as a ripple. With regard to the BNB/BTC chart, it appears that the fifth wave has been fulfilled in accordance with the theory; thus, a bearish retracement may lead this price beneath $150 in the imminent days.
