Bitcoin on Binance.US Trades at $26,970, Revealing a $3,330 Discount from the Actual Price.
Bitcoin enthusiasts have been buzzing with excitement as the popular cryptocurrency has been spotted selling at a significant discount on Binance.US. With prices hovering just above $27,500, this nearly $3,000 markdown from global spot prices has caught the attention of many traders. However, a closer look reveals that there’s a catch to this enticing opportunity.
On July 9, crypto users worldwide started noticing a widening gap between cryptocurrency prices listed on Binance.US and their global spot prices. Referred to as a “depeg” of cryptocurrencies, this price discrepancy has sparked speculation and concern within the crypto community.
Bitcoin Trading On Binance.Us: Discounts, Restrictions, And Impending Deadlines
Bitcoin is currently being traded on Binance.US at $27,536 against the U.S. dollar. This marks an approximate 8.5% discount from the global spot price of $30,106, as of the time of writing. Other cryptocurrencies are also experiencing similar discounts when traded against the U.S. dollar. Ethereum, for instance, is trading approximately $200 cheaper on Binance.US, with a current price of $1,695.
Even stablecoins like USDT have been affected, with their value dropping below their pegs. On Binance.US, USDT is trading at $0.915, further highlighting the market’s unusual behavior.
While discounted prices may tempt arbitrageurs, the reality is that most investors will be unable to take advantage of this opportunity. The discount exclusively applies when trading cryptocurrencies against fiat USD on the Binance.US exchange. However, Binance.US users have been unable to deposit new USD into the platform since its suspension on June 9.
Essentially, this means that the discounted cryptocurrencies can only be purchased using USD funds already present in users’ accounts before the suspension took effect. Consequently, the majority of traders are left unable to participate in this unique market situation.
Worries continue to mount as users speculate about the possibility of Binance.US halting USD withdrawals in the near future. Fearing this outcome, some traders have resorted to selling their cryptocurrencies below market value to exit their positions in USD.
Reports have circulated on Twitter, featuring an email allegedly sent by Binance.US to its customers, indicating that the last day for USD withdrawals will be July 20. If true, this impending deadline adds an additional layer of urgency for traders looking to navigate these turbulent market conditions.
This situation on Binance.US bears resemblance to a previous incident involving the Australian dollar at Binance’s Australian branch. When the company’s third-party payments provider suspended fiat on and off ramps, Bitcoin’s price on Binance experienced a 20% drop compared to global spot prices when traded against the Australian dollar.
As the crypto world closely monitors these developments, traders and investors remain cautiously optimistic about the future of Bitcoin and other cryptocurrencies on the Binance.US exchange.