Bitcoin and BNB Rise 3% After CZ’s First Tweet Post-Prison

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Bitcoin and Binance Coin (BNB) have seen increases of up to 3% following Changpeng Zhao’s (CZ) first tweet after completing a four-month sentence. The ex-CEO of Binance’s re-entry into social media has reignited interest in the cryptocurrency market.

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— CZ BNB (@cz_binance) September 28, 2024

Changpeng Zhao, commonly referred to as CZ, made his comeback to social media on September 27 after serving a four-month sentence for inadequate Anti-Money Laundering (AML) practices at Binance. His succinct tweet coincided with a notable rise in cryptocurrency prices, particularly for Bitcoin and BNB, as indicated by data from CoinMarketCap.

Bitcoin, recognized as the top cryptocurrency by market capitalization, experienced a boost to $65,000, marking a 3.2% increase in the last 24 hours. Simultaneously, Binance’s BNB token rose by 3.1% to $610. The synchronized price shift highlights the ongoing impact of influential industry figures on market perceptions.

Market analysts from 10x Research foresee a robust bull market in Q4 2024, pointing to Bitcoin’s recent rise above the $65K threshold and growing speculation around altcoins. The Altcoin Speculation Index from Capriole Investment reports a 13% rise over the past month, with Sei, Wormhole, and Shiba Inu leading the charge. Potential cuts to interest rates by the Federal Reserve could heighten interest in high-risk altcoins, with many analysts expecting significant growth in this sector within the next few months.

CZ’s sentencing was part of a $4.3 billion settlement between Binance and U.S. regulators in November 2023. As a result of this agreement, CZ stepped down from his role and accepted a personal penalty of $50 million. Although he has departed from daily operations, he remains a significant owner of Binance, retaining about 64% of the total BNB supply.

Richard Teng, who took over as Binance CEO after CZ’s exit, has stated that CZ’s ownership status has not changed. However, the plea deal clearly prohibits CZ from participating in the cryptocurrency exchange’s operations or management.

The crypto community responded swiftly and positively to CZ’s return on social media. His tweet generated substantial engagement within hours, showcasing the industry’s persistent interest in his views and impending ventures. This reaction indicates that despite facing legal issues, CZ still holds considerable sway in the cryptocurrency landscape.

Market experts interpret the price surge as evidence of the crypto community’s unwavering trust in CZ’s vision and leadership. The upward price trends observed in both BTC and BNB reflect ongoing optimism, even if CZ will contribute to the field from a non-operational role.

Before his sentencing, CZ hinted at future interests in decentralized finance (DeFi), blockchain technology, Web3, artificial intelligence, and biotechnology.