Binance has made a substantial investment of $100 million in Bitcoin (BTC) during a recent downturn that saw the cryptocurrency plummet to multi-month lows. This purchase is part of the exchange”s strategy to bolster its SAFU insurance fund amid ongoing market turbulence.
According to Arkham Intelligence, Binance acquired 1,315 BTC, bringing its total recent accumulation to 2,630 BTC, valued at approximately $201 million. This acquisition aligns with Binance”s broader initiative to convert $1 billion of its SAFU reserves from stablecoins into Bitcoin, a move being executed in stages.
During this market dip, Bitcoin briefly fell below the $73,000 threshold before recovering to around $76,000 as buyers entered the market following a wave of liquidations. Despite this rebound, the price movement remains unstable, with traders exhibiting caution due to persistent macroeconomic and geopolitical uncertainties.
The last 24 hours have seen a surge in liquidations, totaling approximately $681 million, with long positions constituting around $508 million. This significant figure illustrates the aggressive liquidation of bullish bets during the downturn, while short liquidations hovered near $173 million, indicating that bearish sentiment has been largely dominant.
The general market atmosphere continues to be defensive as investors evaluate various political and economic factors. Recently, a deal between Senate Democrats and President Donald Trump resolved a temporary U.S. government shutdown; however, disputes regarding funding for the Department of Homeland Security remain unresolved. Additionally, international tensions, particularly regarding the European Union”s aspirations to enhance cooperation with Washington on critical resources, further complicate the market landscape.
In this context, Binance”s ongoing accumulation through its SAFU fund stands out as a notable indication of confidence, despite the prevailing negative sentiment in the broader cryptocurrency market. This investment highlights Binance”s commitment to positioning itself strategically even as traders prepare for potential future volatility.
The information herein is intended for educational purposes only and does not constitute financial, investment, or trading advice. Always conduct thorough research and consult with a licensed financial advisor before making investment decisions.
