Beijing Finance Network Report:
In early trading today, the global cryptocurrency market encountered a cold wave, with major virtual currency prices plunging across the board. Bitcoin (BTC) fell below the psychological support level of $60,000, with an intraday decline of over 3.8%, reaching a low of $58,000. Ethereum (ETH) similarly did not escape unscathed, sliding below $3,300, marking a daily decline of over 4%. According to Coinglass data, market turbulence has led to approximately 110,000 investors being liquidated within the past 24 hours, reflecting cautious market sentiment.
The immediate trigger for this market fluctuation appears to be related to the latest actions of the world’s largest cryptocurrency exchange, Binance. Binance announced the suspension of services for six trading pairs starting July 5, including BTC/AEUR, ETH/AEUR, among others. Although the specific reasons remain unclear, the market widely interprets this move as possibly linked to liquidity issues with these trading pairs. Concurrently, Binance has introduced new trading pairs such as WIF/BRL, ZK/USDC; however, strict geographical access policies restrict participation for users in certain countries and regions.
This series of adjustments by Binance is not unprecedented. Throughout this year, the exchange has frequently adjusted its trading pairs, including terminating ALPACA/BTC last month and previously ceasing all Monero (XMR) operations, which caused corresponding price fluctuations in these assets. Binance’s actions are considered events of significant impact on the market, often triggering short-term volatility.
Furthermore, changes in market supply are also noteworthy. Recently, with the consolidation of mainstream cryptocurrencies like Bitcoin and Ethereum, emerging cryptocurrencies such as 5thScape and DarkLume are attracting investors seeking high returns, indicating a trend towards diversified market capital flows. In July, the market will see the introduction of five new currencies including 5thScape, which are hot topics in market discussions due to their innovative features and potential market opportunities.
On the other hand, the resolution of historical legacy issues is also affecting the market. Tokyo Bitcoin exchange Mt. Gox is about to initiate the compensation process for creditors, involving approximately $9 billion worth of Bitcoin and Bitcoin Cash. This news intensifies concerns in the market about large-scale Bitcoin sell-offs, with some analysts suggesting that as the compensation process progresses, some creditors may choose to liquidate immediately, further suppressing Bitcoin prices.
This article is sourced from Finance Network.
