- The SEC has amended its case against Binance to redefine crypto securities.
- The decision comes after the court’s ruling that BNB is not a security.
Over the past months, the Securities and Exchange Commission has faced over-regulation and compliance issues with Binance [BNB]. After many losses, fines, and jail terms for the CEO, Binance’s fortunes changed in July.
As reported earlier by AMBCrypto, Binance reported legal wins after the court allowed the firm to use customer funds in the U.S. Treasury.
In the recent turn of events, the SEC is considering the case against Binance, considering tokens such as Solana [SOL] as securities.
SEC alters the case against Binance
After a prolonged legal battle, the SEC is reconsidering its case against Binance and former CEO Zhao.
According to a recent report, the commission has amended the case against the crypto exchange regarding the issue of third-party crypto asset securities.
The court filing through the official statement stated that,
“Defendants were unwilling to agree to the commencement of discovery, claiming they cannot do so without reviewing the SEC’s proposed amended complaint. However, the SEC is not asking the Defendants to agree to conduct a merits discovery regarding potentially new allegations in the SEC’s proposed amended complaint.”
SEC’s decision comes amidst various changes after the court argued that BNB was not a security earlier this year. The CFTC chairman clarified that 80% of cryptocurrencies are not securities.
It will take 30 days to amend the motion and resolve any pending issues.
The development is significant for the wider crypto markets, as the SEC has been persecuting various cryptos and exchanges over security statutes of their tokens, such as Ripple [XRP].
Most importantly, the SEC’s decision will have a considerable impact on the Binance Coin.
Potential Impact on BNB
As of this writing, BNB was trading at $573.53 after a 2.17% decline on weekly charts. Also, BNB has declined on the daily charts by 3.41%.
Despite the price decline, its trading volume has surged by 12.92% over the past 24 hrs. The prevailing market sentiment was positive.
Source: TradingView
For starters, BNB’s Directional Movement Index (DMI) showed that prices were experiencing higher highs than lows. At press time, the positive index at 21 sat above the negative index at 15.
This suggested that buyers were stronger than sellers, thus positioning prices for a rise.
Additionally, the Moving Average Convergence Divergence (MACD) showed that the 12-period EMA was above the 26-period EMA. Thus, short-term momentum was stronger than long-term momentum.
Source: TradingView
Also, the altcoin Chaikin Money Flow (CMF) was positive at 0.08, which meant the buying pressure was higher than selling pressure at press time.
Source: Coinglass
Looking further, AMBCrypto’s analysis of Coinglass showed that BNB has experienced stability in liquidation. Over the past seven days, long positions liquidation has declined from $943K to $131K.
Equally, long-position liquidations have been declining over the same period.
Read Binance’s [BNB] Price Prediction 2024-25
Therefore, the analysis shows that with favorable legal status for Binance, its native token, BNB will experience a price surge.
Constant regulatory problems lower investors’ confidence; thus, with a clear path, Binance will attract and boost investors’ confidence, further pushing BNB’s buying pressure.
