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Breaking News: Celsius Founder Alex Mashinsky Receives 12-Year Prison Sentence

Bitcoin Is Reportedly Trading At a $2k Premium on Binance.US

Dalmas Ngetich
Dalmas Ngetich
1 year ago
3 mins read
Bitcoin Premium Binance US

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According to sources on June 6, Bitcoin is trading at a $2,000 premium on Binance US, an exchange the United States Securities and Exchange Commission (SEC) claims is controlled by Changpeng Zhao and Binance Global.

According to screenshots widely circulated on Twitter, BTC, at one point, was reportedly trading at $28,505, a price level that was roughly $2,000 higher than the global BTC average of around $26,500 at the time.

Bitcoin Trading At A $2,000 Premium on Binance US

From price charts, Bitcoin remains volatile even at spot rates. Less than 24 hours after slumping to as low as $25,900 on June 5, the coin reversed losses on June 6. 

Bitcoin Price on June 7| Source: BTCUSDT On Binance, TradingView
Bitcoin Price on June 7| Source: BTCUSDT On Binance, TradingView

Yesterday, the price of BTC surged, reaching levels as high as $27,000. This upward movement contradicted the bearish forecasts that analysts had previously made for June 5. Additionally, this positive price movement helped alleviate concerns that the SEC lawsuit against Binance would hurt the value of BTC.

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Tumbling Bitcoin and crypto prices on June 5 coincided with accusations from the US regulator. The SEC listed 13 charges against Binance, including that together with the Binance US, the exchange allegedly enabled US citizens to illegally trade a wide range of cryptocurrencies.

Moreover, the SEC pressed that Binance and Binance US were unregistered trading platforms that continue to offer “multiple unregistered offers and investment schemes” aimed at “defrauding equity, retail, and institutional investors about purported surveillance and controls over manipulative trading.”

In response to the SEC’s lawsuit, on-chain data from Nansen shows that investors have continued to pull billions worth of crypto assets from Binance Global and Binance US. 

The analytics platform observes that over $3 billion of assets from multiple chains have been withdrawn from Binance. Out of this, over $1.3 billion was from Ethereum. 

Intervention Fueling Bitcoin’s Demand

Meanwhile, Binance.US has suspended its over-the-counter (OTC) trading platform and reduced the number of supported trading pairs. 

The announcement of Binance US’ changes affects roughly 90 pairs of the USDT, BTC, and BUSD pairs. It is also unclear when Binance US will resume its OTC trading services.

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Furthermore, Binance US has reduced the trade and convert options to USDC, USDT, Bitcoin, Ethereum, and some of the top crypto assets, including Cardano’s ADA.

However, while there is a limitation on which assets existing clients can convert to, Binance US has placed caps on the maximum buy, sell, and convert options to USD at $10,000. 

The suspension of the Binance US OTC platform and caps on USD conversion and assets could explain why Bitcoin is a highly sought asset and trading at a $2k premium in the United States for clients who used Binance US. 

SEC and the Commodity Futures Trading Commission (CFTC) have previously stated that Bitcoin is a commodity.

Feature Image From Canva, Chart from TradingView
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Dalmas Ngetich
Dalmas Ngetich

Dalmas Ngetich

Dalmas, a seasoned crypto reporter, brings a unique perspective to the industry. His specialization in NFTs, blockchain, DeFi, and blockchain news for NewsBTC, combined with a background in mechanical engineering and over a decade of experience in journalism, has allowed him to craft over 10,000 news and feature articles over the past eight years. His diverse range of topics, including technology, Forex, and finance, reflects his comprehensive understanding of the crypto landscape.

Read more

His technical expertise and analytical skills have been recognized and featured by leading news outlets such as Investing.com, CoinTelegraph, Entrepreneur, Forbes, and other authority sites. Notably, he broke key news, including the Ripple and MoneyGram partnership, cementing his position as a thought leader in crypto.
The news exploded. Over 100,000 people devoured this meticulously crafted report, from seasoned investors to curious newcomers. His analysis wasn't just dry facts and figures; it crackled with insight, dissecting the implications of the partnership and its potential impact on the future of finance.

His deep understanding of the financial markets, technological advancements, and blockchain developments has made him a respected voice in the industry.

Dalmas is also the founder of BTC-Pulse, a crypto news site, further demonstrating his commitment to the field. He firmly believes that DeFi and NFTs are here to stay and will continue to drive financial inclusion.

Coming from Nairobi, Kenya, it is easy to see the source of his inspiration: Across Africa, millions lack access to traditional banks. Remote villages, limited documentation, and high minimum balances create insurmountable barriers.

DeFi, not just Maker or Aave, for example, but think of Bitcoin and USDT, cuts out the middleman. Forget banks with their limitations.
Even so, DeFi isn't a magic solution. The continent still struggles with reliable internet access, and educational campaigns highlighting the benefits of this wonderful solution are insufficient. Moreover, even for those interested, understanding DeFi can look like learning a new language.

Dalmas is here to help make the tech easy to understand and digestible, even for beginners.
The story of DeFi in Africa is still being written. Challenges abound, but the promise of a more inclusive financial future is a powerful motivator. With innovation and collaboration, Dalmas firmly believes that DeFi could become the key to unlocking Africa's full economic potential.
This possibility and its immense value motivate Dalmas to continue breaking key DeFi innovations and more across the globe. His engineering background further enhances his ability to deliver well-thought-out pieces that blend technical insight with clear, impactful reporting.

Beyond his professional achievements, Dalmas is deeply passionate about technology and politics. Policies drive adoption, and being at the forefront and keeping up with how they evolve is crucial for the sphere to mature.

When Dalmas is not closely monitoring the latest crypto events, he can be found in nature, exploring the picturesque countryside, and traveling with his family and friends. His love for adventure and discovery perfectly complements his investigative and reporting skills.
You can connect with Dalmas on X: @Dalmas_Ngetich, or contact him on Telegram @Dalmas_Ngetich.

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Disclaimer: The information found on NewsBTC is for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.

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Reason to trust

Strict editorial policy that focuses on accuracy, relevance, and impartiality
Created by industry experts and meticulously reviewed
The highest standards in reporting and publishing
How Our News is Made

Strict editorial policy that focuses on accuracy, relevance, and impartiality

Ad discliamer

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