- Binance introduces a $100,000 minimum limit for purchasing cryptocurrencies.
- Binance revealed that Signature Bank was restricting its involvement in digital coins.
- Consequently, the crypto network’s fiat partner will complete orders worth over $100,000.
The leading exchange clarified that the move would impact some customers, especially those attempting to purchase crypto through SWIFT. Binance told Bloomberg that Signature Bank levied restrictions on purchasing cryptos. The move by the NY-based bank arrived after the crypto space lost around $2B in market cap in about one year.
Binance Clients Encounter Troubles
Binance exchange will restrict some users from buying digital assets whenever the orders are worth less than $100,000. The limitation will happen since Binance’s fiat banking partner (Signature Bank) wants to restrict its crypto exposure.
The note from Binance indicated that Signature Bank confirmed its decision to stop supporting any crypto exchange users in purchasing and selling amounts not worth more than $100,000 as of 1 February.
While Signature is among Binance’s fiat partners, it states that other associates remain unaffected. Thus, the exchange stated that some users might fail to buy or sell cryptocurrencies for/with USD for amounts not more than $100,000.
Will the News Affect BNB Price?
Digital tokens, including BNB, have recorded notable rallies over the past few weeks. The bullish stance saw the overall market triggering upside moves. Nonetheless, as BTC cools off, reversal risks magnify. Despite the discussed limitations by Signature Bank, alts already seem ready for reversals.
BNB price created a range, extending between $249 and $318 during November last year’s late sessions. 2023’s early bullishness catalyzed an approximately 30% uptick in Binance Coin. That upside saw the altcoin recovering into the highlighted range and potentially ready to sweep the range peak.
Though the RSI (Relative Strength Index) shows a deteriorating trend, BNB might see a swift surge to overcome the $318 mark. Conversely, sudden reversals might drag BNB lower to explore the range’s midpoint at $283.
Meanwhile, the crypto space remains elevated today, with most assets reflecting gains on their respective 24hr price charts. Bitcoin seems ready to explore the $23K mark, following a 0.79% 24hr surge to trade at $22,777 during this writing.