According to the latest data as of July 17, 2023, concerning disparities have emerged between Binance US’ exchange rates and the global average. In late June, the gap stood at a modest 2% to 5%, but it has since surged to an astonishing 16% by mid-July. Despite Bitcoin hovering just above $30,000 on Monday, its valuation on Binance US is approximately $5,000 lower than the worldwide average when paired with the USD.
Significant Disparities in USD Trading Pairs on Binance US
At the beginning of the week, the digital economy experienced a downturn, with a 1.22% decrease in value, bringing it down to $1.2 trillion. Bitcoin (BTC) maintained a trading value of around $30,180 per unit, while Ethereum (ETH) was approximately $1,911 per coin. However, the price divergence across BTC, ETH, and certain other coins exclusively paired with the U.S. dollar on Binance US, a prominent cryptocurrency exchange, continues to widen.
Based on the data from July 17, the BTC/USD trading pair reveals that BTC is being traded at a significantly lower rate of $25,073—a staggering 16.92% below the global average exchange rate for BTC. Similar inconsistencies in exchange rates are apparent on Binance US for most cryptocurrency assets and stablecoins when matched with the U.S. dollar. For instance, while Ether is currently trading above $1,900 per unit, it drops significantly to around $1,595 on Binance US when paired with the greenback.
Simultaneously, the USDT/USD pair displays a rate of $0.76 per Tether on the platform—considerably lower than its expected dollar-pegged value. Likewise, Binance Coin (BNB), despite its market value of $242 per coin, is exchanged for a mere $200 when compared to the dollar on Binance US. Over the past two weeks, the disparities within Binance US have deepened further, with exchange rate variations ranging between 2% and 5% by the end of June.
Current Discrepancies in USD Prices on Binance US as of July 17, 2023
The gap between U.S. dollar matches and global exchange rates has significantly widened since July began. The root cause of these pricing discrepancies on Binance US can be traced back to the platform’s suspension of USD deposits, which has prevented customers from replenishing their accounts with fresh dollars. The remaining dollars on the exchange, following the halt of deposits, have triggered these irregularities as traders sell coins at substantial discounts. The duration and extent of these disparities persisting remain uncertain.
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Frequently Asked Questions (FAQs) about price discrepancies
What are the significant price discrepancies on Binance US compared to the global average?
The significant price discrepancies on Binance US refer to the disparities in exchange rates between Binance US and the global average. As of mid-July, these discrepancies have reached an astonishing 16% for the USD pair. Cryptocurrencies such as Bitcoin, Ethereum, and others show notable variations when paired with the U.S. dollar on Binance US.
What is the cause of the price disparities on Binance US?
The price disparities on Binance US can be attributed to the platform’s suspension of USD deposits. Due to this suspension, customers are unable to top up their accounts with fresh dollars, resulting in residual dollars on the exchange. Traders are selling coins at discounted prices, causing the pricing irregularities and widening the gap between Binance US and the global average.
How long will these pricing discrepancies persist on Binance US?
The duration and extent of the pricing discrepancies on Binance US remain uncertain. It depends on factors such as the resolution of the USD deposit suspension, market dynamics, and the actions taken by Binance US to address the situation. Monitoring the updates from Binance US and the crypto market will provide insights into the potential longevity of these disparities.
More about price discrepancies
- Binance US
- Bitcoin (BTC)
- Ethereum (ETH)
- Crypto Market News
- Understanding Exchange Rate Discrepancies