BNB Coin Bullish as US Court Rejects SEC's Plea to Investigate Binance US
The SEC's request for an investigation against Binance U.S. was refused by a US judge.
The United States Securities and Exchange Commission (SEC) encountered a setback in its lawsuit against Binance. A federal magistrate judge declined the SEC's request for immediate access to Binance US' software, which was filed on September 18.
The SEC had alleged that Binance US was not fully cooperating with the investigations, producing limited and insufficient documents.
Court Denial on Binance US Investigation
Judge Zia Faruqui suggested a more concise approach, urging the SEC to refine its discovery requests and contact additional witnesses. The SEC had initially requested access to Binance US' technology stack and more documents and witnesses to aid the investigation.
According to the SEC, Binance has limited the regulator to only four witnesses, claiming that additional individuals asked by the SEC lacked sufficient knowledge on the subject.
In its most recent claims against Binance US, the SEC also claimed that the business misled the court about its relationship with Ceffu (previously known as Binance Custody). In contrast to what the exchange asserted in earlier court documents, the SEC contends that Ceffu is a Binance-related entity.
Additionally, the rejection of SEC's plea created a positive ripple effect on the market due to which, BNB coin price rallied.
Binance US Volume Decline and Executive Departures
Amidst the legal battle, Binance US faced challenges in its operations. Notably, key executives have left the company in recent weeks, and the exchange's trading volume has seen a substantial drop. According to Kaiko Research, weekly trading volume on the platform plummeted from nearly $5 billion to a mere $40 million.
The ongoing legal dispute and internal challenges have added pressure on Binance US, raising questions about its future direction.
Binance (BNB) Coin Price Analysis
As per CoinStats, the current price of BNB is $217.79, up 0.60% in the previous 24 hours, and the market cap is $34B. It has a circulating supply volume of 153,856,150 BNB coins and a maximum supply volume of 153,856,150 BNB coins, with a 24h trading volume of $635M.
Source: CoinStats
Binance Coin (BNB) grapples with a stagnant price movement, with its potential for a rebound hinging on increased network activity for BNB Chain. The coin has faced resistance at the $225 mark, struggling to break through. At present, BNB is trading at $216.80, with modest 24-hour gains of 0.8%.
The fate of BNB's price largely rests on Bitcoin's performance. A significant breakthrough for Bitcoin above $26,000 could inject positive sentiment into the market, potentially benefiting BNB. Technical analysis paints a cautious picture, with the Relative Strength Index (RSI) indicating a lack of demand for BNB.
Conclusion
The next hearing for the Binance vs. SEC case is scheduled for October 12. Both parties are expected to heed the latest court guidance in the interim. The outcome of this legal battle holds implications not only for Binance and the SEC but for the broader cryptocurrency landscape, as it navigates regulatory challenges.
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