On August 5, Binance recorded an impressive $1.2 billion in net inflows, a response to a significant downturn in cryptocurrency prices. This influx is among the highest for the year, signaling robust investor confidence, according to Binance CEO Richard Teng. He highlighted this achievement in an August 6 post on X, referencing data from DefiLlama’s centralized exchange (CEX) transparency dashboard.
The dashboard now indicates that Binance’s net inflows have surged by more than $2.2 billion in the past 24 hours, bringing its total to $101.2 billion. Other exchanges like Bybit, Crypto.com, and OKX also saw notable increases in inflows, totaling $301.4 million, $107.8 million, and $97.7 million respectively, within the same timeframe. In contrast, Robinhood experienced a $16.9 million outflow, coinciding with the suspension of its market execution venue, Blue Ocean ATS, early on August 6.
The crypto market on August 5 saw significant trading activity, with exchanges processing over 268,830 Bitcoin, valued at approximately $15 billion. This was the largest amount of Bitcoin moved since the zero-fee trading period Binance implemented in 2022-2023, noted by blockchain analytics firm K33 Research.
During this turbulent market phase, Bitcoin and Ether prices plummeted by 10% and 18%, respectively, within a two-hour span on August 5, resulting in over $600 million in leveraged long positions being wiped out.
Despite these market shocks, Binance Australia remains optimistic about the future of digital assets. In a statement to Cointelegraph, Ben Rose, the general manager for Binance Australia and New Zealand, asserted, “History shows that the cryptocurrency market has demonstrated resilience and recovery following periods of correction.” He further expressed that the current downturn does not signal a long-term negative trend for cryptocurrencies and anticipated more significant market fluctuations influenced by factors like potential U.S. Federal Reserve interest rate cuts and political uncertainties.
Bitcoin has shown some recovery since hitting a low of $49,780 on August 5, climbing 14% to reach $56,770, as per CoinGecko data.