By George Ward
The Binance exchange has announced the removal of isolated and cross-margin pairs for Bitcoin (BTC) and Ethereum (ETH) from its trading platform.
Delisting Trading Pairs On Binance
According to the world’s leading crypto exchange, beginning November 28, it will suspend isolated margin borrowing on pairs associated with the BUSD stablecoin. Recall that Paxos, in collaboration with Binance, minted the BUSD stablecoin.
The closure of auto-settled user positions and the cancellation of all pending orders will follow on December 7. Additionally, the platform will remove BUSD from spot and margin trading pairs, and users must convert their BUSD holdings into other assets by February 2024.
Since stablecoin issuer Paxos stopped minting the stablecoin in February 2023, the decision to discontinue support for BUSD was expected. Then, Binance ex-CEO Changpeng Zhao (CZ) stated that the stablecoin will gradually be phased out but didn’t specify the phase-out period.
BUSD was the subject of a regulatory clash after the New York Department of Financial Services (NYDFS) ordered Paxos to stop issuing it earlier in February. Meanwhile, the US Securities and Exchange Commission (SEC) submitted a sealed motion related to Binance earlier this week. Through this motion, the regulator can file sensitive information without revealing the contents to the public.
Changpeng Zhao’s Guilty Plea
Changpeng Zhao, the founder of Binance, recently resigned as CEO of the world’s largest crypto trading platform. Zhao’s departure is part of an agreement with the US Department of Justice (DoJ) to resolve criminal charges it leveled against the exchange.
Thus, Richard Teng has taken over as the new CEO. The company has recently come under intense regulatory scrutiny as governments worldwide seek to perform regulatory oversight on the rapidly growing crypto industry.
The recent developments at Binance highlight the importance of crypto exchanges adhering to regulations within the jurisdiction where they operate.
Expert’s Bearish Sentiments On BTC
Following recent market corrections and legal issues for Binance and its former CEO, the crypto space is buzzing with bearish sentiments, according to a renowned analyst and trader known by his pseudonym, Capo.
Capo, who has 764,900 followers on the X social media platform, said the crypto market is currently at the “beginning of the end.” He forecasts a massive capitulation, which could reach new lows as the crypto market’s bearish trend continues.
Furthermore, Capo hints at a BTC price drop to $12,000. He asserted that such a decline would mark the market’s low point, similar to price levels last experienced in October 2020. Bitcoin is trading at $37,254 after gaining 1.8% in the last 24 hours, per data from CoinGecko.
More Severe Corrections
Meanwhile, the analyst’s projections go beyond Bitcoin, warning that altcoins may face even more severe corrections if BTC falls to his predicted $12,000 level. According to him, his analysis shows that certain altcoins are already exhibiting signs of reaching a price peak, raising concerns among investors interested in alternative digital assets.
Despite the market’s apparent display of extreme bullish sentiment, Capo explained his forecasts using an analysis of current sentiment and underlying macroeconomic realities. He noticed a growing divergence between market sentiment and price movements and a troubling trend of declining trading volumes.
The expert opined that the market’s exuberant run may have been artificially prolonged and is now causing severe implications for the future stability of cryptocurrencies. While market participants appear to be upbeat, Capo warned that there is a critical disconnect between the enthusiastic market behavior and the broader economic landscape.
Nevertheless, Bitcoin advocates are bullish on the asset’s future uptrend despite the impending delisting of BTC trading pairs and the broader market dynamics.