Binance has returned to the center of market attention following the October 10 crash, an event that marked one of the most violent deleveraging episodes of the current cycle. On that day, a sharp wave of liquidations swept through derivatives markets, erasing billions in open interest and exposing the extent of excessive leverage across multiple exchanges.
Binance stood out during the turmoil not because it drove the sell-off, but because its liquidation footprint was notably smaller relative to its market share, highlighting differences in leverage concentration and risk management compared with rival platforms.
Fast forward to today, and the broader market backdrop remains fragile. Bitcoin is trading below the $80,000 level, while Ethereum has slipped under $2,300, reinforcing the perception that the market has entered a corrective, if not outright bearish, phase. Macro uncertainty, shrinking liquidity, and weakening spot demand have led many analysts to anticipate further downside before any durable stabilization can occur.
Against this backdrop, new data from Arkham has added an unexpected twist. Arkham reports that Binance’s SAFU fund has begun accumulating Bitcoin, purchasing 1,315 BTC—worth roughly $100 million—within the last hour. This move contrasts sharply with prevailing risk-off sentiment and suggests that, even as prices trend lower, Binance may be positioning defensively or opportunistically amid market stress.
Binance Under Scrutiny as the Market Searches for Direction
Many analysts have been quick to point fingers at Binance and its founder, Changpeng Zhao, following the latest wave of market weakness. The criticism largely stems from Binance’s dominant position in global derivatives trading, its deep liquidity pools, and its outsized influence on funding rates, open interest, and liquidation dynamics.
In periods of stress, any sharp move originating on Binance tends to ripple across the entire crypto ecosystem, reinforcing the perception that the exchange acts as a central transmission point for volatility.
However, despite the intensity of these claims, there is currently no concrete on-chain or market evidence showing that the exchange or CZ actively triggered or engineered the recent sell-off. Liquidation data suggests that leverage was widely distributed across multiple platforms, and in several instances, Binance recorded a smaller share of forced liquidations relative to its market share. This weakens the argument that Binance was the primary source of systemic pressure.
What appears more likely is that Binance is being conflated with broader structural issues: excessive leverage, thinning liquidity, and fragile investor sentiment. These conditions can amplify moves regardless of where they begin. The coming days will be critical. How price reacts, how leverage resets, and whether spot demand returns will determine whether the market stabilizes—or confirms that a deeper bearish phase is unfolding.
Bitcoin Breaks Key Weekly Structure
Bitcoin’s weekly chart reflects a clear shift in market structure following the loss of the $80,000 psychological level. After failing to reclaim the 50-week moving average (blue line), BTC has resumed its downward trajectory, confirming this zone as active resistance rather than temporary consolidation. The rejection near the mid-$90K area marked a lower high relative to the 2025 peak, reinforcing a broader bearish trend on higher timeframes.
Price is now trading below both the 50-week and 100-week moving averages, while the 200-week moving average (red line) continues to rise well below current levels. This configuration historically signals a transition phase, where momentum has turned negative but long-term structural support has not yet been tested. The recent breakdown toward the $74,000–$78,000 range places Bitcoin back near a former high-volume area from early 2025, which may offer short-term stabilization but does not yet qualify as a confirmed bottom.
Volume dynamics add to the cautionary outlook. Selling pressure has increased on down weeks, while rebound attempts have been accompanied by weaker volume, suggesting limited conviction from buyers. This pattern aligns with distribution rather than accumulation.
Unless Bitcoin can reclaim and hold above the 50-week moving average, the path of least resistance remains to the downside. In this context, the market appears to be entering a corrective or early bear phase, with further downside risk toward deeper demand zones still unresolved.
Featured image from ChatGPT, chart from TradingView.com
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