CZ’s Exit Impact on BNB Distribution
The resignation of Changpeng Zhao as CEO of Binance has triggered a significant distribution of BNB in the coin’s spot market.
Double-Digit Decline in BNB
BNB has experienced a double-digit decline in value following CZ’s exit from Binance. At press time, BNB Coin has shed 11% of its value in the past 24 hours, making it the second-worst-performing coin in the top ten by market capitalization according to CoinMarketCap.
Rise in Outflows from Binance
Binance has recorded a notable increase in outflows in the last 24 hours, exacerbating the decline in BNB’s value.
On-Chain Data and Fund Flow
Information retrieved from on-chain data provider Nansen indicates that Binance’s fund flow plummeted from a net negative of $10,000 to $45 million within a short window period.
- Kaiko’s research analyst Riyad Carey noted that Binance’s 1% market depth fell from $180 million to $110 million in about 2 hours before bouncing back.
- The 0.1% depth also fell from $100 million to $85 million during the same period.
BNB Coin Value and Trading Activity
At press time, the price per BNB coin was $235.14, its lowest level in the last week. The coin’s price fell to a low of $242 when the news of Mr. Zhao’s resignation broke, marking its lowest in the last 20 days.
AMBCrypto’s assessment of trading activity in the last 12 hours revealed a significant uptick in BNB distribution as investors fear a ripple effect on BNB’s value due to Zhao’s resignation.
Chaikin Money Flow and Key Indicators
The coin’s Chaikin Money Flow (CMF), measuring the balance between buying and selling pressure, was below the zero line at press time with a value of -0.18, indicating a high volume of liquidity exit from the coin’s spot market.
Key momentum indicators showed that most traders have resolved to sell rather than buy since Zhao’s resignation. The alt’s Relative Strength Index (RSI) was 45.16, while its Money Flow Index (MFI) was 40.91.
BNB’s Aroon Down Line
In the last 12 hours, there was a sharp rise in BNB’s Aroon Down Line (orange) to 92.86%, indicating a strong downtrend and suggesting that the most recent low was reached relatively recently.
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