- BNB price fell by 11% in the last 24 hours after that Mazars Group’s decision to exit the crypto space.
- Mazars Group was one of the major accounting firms that implemented Proof of Reserve (PoR) audits.
After Mazars Group announced it would suspend auditing of its crypto clients, the price of BNB has since fallen as concerns grow over Binance’s financial health. Investor confidence in the general cryptocurrency industry has plummeted.
Read Binance Coins [BNB] Price forecast 2023-24
Mazars Group was one of the major accounting firms that performed Proof of Reserve (PoR) audits for leading exchanges Binance and KuCoin. However, after the unexpected repercussions of FTX, market confidence plummeted in the case of PoR audit reports published by leading audit firms.
bloomberg mentioned On December 16, Mazar decided to stop working with cryptocurrency firms because “the markets have not been reassured by the ‘Proof of Reserves’ reports they have published so far.”
It was also reported that the suspension was limited to providing proof of booking reports because there were “concerns about how the public would perceive these reports”.
BNB bears the burden
for each data from CoinMarketCapBNB is trading at $231.94 at press time, after falling 11% in the past 24 hours.
During the same period, BNB trading volume increased by 127%. This creates a price-volume discrepancy that is only found in oversold markets. This was an indication that BNB buyers were exhausted and the coin distribution was high.
This was confirmed by the performance evaluation of BNB on the daily chart. A look at BNB’s MACD revealed that the fifth-largest crypto-asset started a new downward cycle on December 6, sending its price down by 20% over the past 11 days.
Major indices were significantly oversold at press time and were positioned off their neutral positions. The Relative Strength Index (RSI) was at 24.94 at the time of writing. The Money Flow Index (MFI) for BNB is set at 17.17.
This indicates that since the beginning of the month and the growing concerns about the spread of Binance’s position in the market, BNB holders have been steadily selling their BNB holdings, preparing for a possible imminent crash.
Moreover, the dynamic line (green) of BNB’s Chaikin Money Flow (CMF) is spotted at -0.16. It is known that the CMF value below the zero line is a sign of weakness in the market.
In a downward trend at the time of writing, the BNB market remains seriously weak. Similarly, volume decreased by 550 million in the past week.
While investors waited for the next big event to boost confidence in Binance and its BNB coin, negative sentiment continued to follow the alternatives.