Binance CEO, CZ, just stirred up investors with a recent post, while Bitcoin seems to be slowing down its decline. Despite the slump in the crypto markets, CZ’s optimism appears tied to upcoming actions in Hong Kong.
Binance Bullish Explained
Amidst the falling markets due to the US default risk, Binance CEO CZ made the following statement;
CCTV (China Central Television) just aired a crypto broadcast. This is a huge event. Chinese-speaking communities are buzzing. Historically, such broadcasts have led to bull runs. I’m not saying the past predicts the future. And it’s not financial advice.
This announcement is in itself an exciting detail. We should remember the statement made by CZ, the America of crypto, at the beginning of 2022. He had spoken of high volatility to come in cryptocurrencies. What followed was a complete roller-coaster ride in the crypto market. Many altcoins painted huge peaks on their weekly graphs, and the price fell to historic lows.
After the statement by the crypto billionaire, the BTC price, preparing to break 26,000 dollars, rose above 26,350 dollars. The US default risk is a significant issue, and crypto is affected significantly by it. Republicans have weaponized this issue for the upcoming elections, and Biden has started a counter-attack. The Treasury Secretary’s statement today implied a potential market collapse. Earlier this month, the White House had said that a default could lead to 8 million unemployed. If there is no agreement, Biden and his team will hold Republicans responsible for the ensuing chaos. Until an agreement is reached, Republicans will continue to put pressure on their opponents.
The Crypto Bull is Coming
Yes, CZ is sure of this and now expresses it explicitly. His post about CCTV comes just eight days before Hong Kong’s crypto move. As of June 1, cryptocurrencies will become legitimate in the region, and Asia’s ultra-wealthy investors will have easy access to crypto. Despite a population of only 7 million, Hong Kong is the region’s trading hub and home to many wealthy individuals.
The post by CZ suggests an increase in interest in cryptocurrencies in Asia. If people start discussing cryptocurrencies more, the number of investors increases. Especially with monetary tightening policies starting to loosen, the upcoming year will be exciting.
However, it’s worth considering the Binance CEO’s caution that the past may not predict the future.
