Bitcoin Surges as Analyst Warns That Binance Triggered ‘Altcoin Winter’

By CCN Markets: The bitcoin price climbed as high as $8,450 on Friday morning, lifting the flagship cryptocurrency to its highest mark since June 3. The trigger for that rally? Binance.

The fallout? A punishing “altcoin winter” that could slaughter altcoin valuations while bitcoin continues to trend higher.

Binance US Launch Could Trigger Brutal Altcoin Winter

The bitcoin price cleared $8,450 on Bitstamp. | Source: TradingView

That’s the shocking analysis of crypto economist Alex Krüger, who warns that Binance’s decision to launch a regional US exchange and boot US traders from its core platform could fundamentally reshape the global cryptocurrency market.

Binance, as CCN reported, has partnered with BAM Trading Services Inc. to launch Binance US, where it will directly compete against Coinbase (read more in CCN’s exclusive interview with Binance CEO Changpeng Zhao).

Concurrently, the world’s largest crypto exchange quietly updated its terms of service to bar US residents from accessing its core platform, Binance.com. Those changes take effect on Sept. 12.

According to Krüger, it’s likely that, due to stringent regulatory restrictions, Binance US will feature a much narrower range of crypto assets than are listed on its central exchange.

Since US traders make up as much as 30% of Binance’s user base, he expects small-cap cryptocurrencies listed on Binance but not the US exchange to suffer brutal corrections.

“#AltsWinter is coming,” he tweeted. “Good for $BTC and the majors.”

Binance Coin Risks Steep Sell-Off

Of particular concern is Binance Coin (BNB), the cryptocurrency exchange’s propriety token that it…

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