New withdrawals record from Binance 📌Binancecoin under 'fear' pressure

Withdrawals from the Binance exchange are on the rise. According to earlier data from analytics platform Nansen, Binance experienced a record $902 million in net outflows over the past 24 hours. Binance CEO. Chanpeng Zhao referred to market reports updated the data by conveying that withdrawals reached $1.14 billion. Investors fear 'next FTX' event:

• Binance is the world's largest cryptocurrency exchange in terms of trading volume. The value of all assets held there can reach as much as $64 billion;
• The controversy over the reserves report, with which the exchange wanted to reassure the market, and the postponement of the disclosure of liabilities and coverage of other cryptocurrencies besides Bitcoin have caused caution among its users, who have begun to withdraw funds held for safety;
• Over the past 24 hours, Binance's net withdrawals have surpassed those of all other centralized ones and are nearly nine times larger than the second largest outflow from the exchange this year;
• The outflow was the largest for Binance since November 13. The previous record fell two days after FTX filed for bankruptcy protection, according to Arkham Intelligence;
• The decline in Binancecoin's value could pose a systemic threat to the exchange, whose largest part of its portfolio is actually Binancecoin - the third largest cryptocurrency after Bitcoin and Ethereum;
• The decline in Binancecoin's value also results in a decline in the value of assets deposited in the fund meant to secure the exchange (SAFU). After the collapse of FTX, its value in November was increased by the exchange to about $1 billion although Chanpeng Zhao warned of its volatility.

Volume outflow from Binance in USD according to Nansen data. Source: Nansen

Binancecoin, M30 interval. The price of the exchange-traded token Binance has come under pressure showing bearish divergence with Bitcoin, which has been rising over the past several hours. While BTC has approached $18,000, Binancecoin is still struggling to break through $270 after investor sentiment toward the largest cryptocurrency exchange turned more negative. The sentiment was further weighed down by a Reuters report that revealed information on the investigation targeting Binance by the US Department of Justice. Source: xStation5