Binance ‘FUD’ meets CPI — 5 things to know in Bitcoin this week
Bitcoin (BTC) starts a new week at the center of new crypto industry drama as the highest fees in two years pressure price action.
Downside volatility is greeting traders thanks to a full mempool, and explanations point the finger at multiple parties.
The largest exchange, Binance, is adding to the confusion, pausing BTC withdrawals several times over what it calls network “congestion.”
Amid the turmoil, BTC/USD is showing signs of strain, breaking down from $28,000 to threaten an exit of its broader trading range.
The events mark a flustered start to a week full of potential BTC price volatility catalysts. These come in the form of macroeconomic data releases, including the Consumer Price Index and Q1 earnings reports.
As Bitcoin network metrics show the impact of current network activity, data shows miners are still selling their holdings, leading analysts to conclude that the 2022 bear market is still in play.
Cointelegraph looks at these factors and more in the weekly rundown of what’s moving crypto markets.
Bitcoin is under pressure at the start of the week, but not for the usual reasons.
As BTC/USD dips to $28,000, observers closely follow events on-chain and at the largest global exchange, Binance.
The latter has halted BTC withdrawals three times since the weekend, citing “congestion” on the Bitcoin network, while simultaneously moving a giant chunk of funds between wallets.
We’re aware that some data are showing a large volume of outflows from #Binance. This ‘outflow’ are actually movements between Binance hot and cold wallets due to the BTC address adjustments.
Binance’s moves came as large numbers of transactions entered the Bitcoin mempool, pushing already high fees even further into territory not seen in several years.
Read more on cointelegraph.com
