• Following the SEC complaint, the US District Court summoned Binance CEO, Changpeng Zhao.
  • The summons has granted Zhao 21 days to respond, with repercussions of judgment by default if he fails to do so.
  • CZ has acknowledged the news, saying that while he must respond, he does not need to appear in person.
  • Binance Coin is down almost 8% in the last day and 1% in under one hour after the news broke.

Binance Coin (BNB) is down a staggering 20% since June 4 to the current price of $260.93, representing a 10% downswing since the beginning of the Asian session on June 7. The leg down comes in light of recent developments in the case between Binance and CEO Changpeng Zhao (CZ) versus the US Securities and Exchange Commission (SEC).

Also Read: SEC triggers crypto bloodbath as Coinbase, Kraken brace for token delistings after Binance lawsuit

A lawsuit has been filed against you regarding the recent SEC action. Binance has yet to respond to the reported summons. Additionally, details on whether or not it has been officially served are currently unavailable.

BNB price slumps further over US court summons to Binance’s CZ

Binance Coin (BNB) price has slumped 10% over the news of the US District Court summoning Changpeng Zhao. Moreover, the summons was issued on June 7, granting Zhao 21 days to respond.

CZ has since confirmed that it was standard operating procedure and that he did not have to physically appear. Noteworthy, the court said that it intends to fight the complaint that was issued against it. Moreover, Coinbase issued a similar complaint, except it did not include allegations of customer fund mismanagement. 

These all draw from the Monday lawsuit by the US SEC, suing Binance and its CEO over several alleged violations of the country's securities laws. As reported, the exchange committed to fighting "vigorously" to defend itself. While the summons, filed Wednesday in the US District Court for the District of Columbia, may be procedural, it is notable because of where it was delivered — an address for a seaside apartment block in Malta.

Binance Coin price forecast as BNB sets a new yearly low

Binance Coin (BNB) price is trading with a bearish bias, down almost 20% in less than a week. The overall outlook indicates a declining momentum evidenced by the falling Relative Strength Index (RSI). Notably, the altcoin has slipped below the crucial support at $260.7, to set a new yearly low at around $253.4. 

An increase in seller momentum could see the BNB price tag the psychological $240.0, a level last seen around December,  before a possible reversal.


BNB/USDT 1-Day Chart

On the other hand, the RSI was deep in the oversold region, suggesting an incoming pullback of correction in the market as investors buy cheap. The subsequent demand pressure could prove bullish for BNB.

Late investors buying BNB could inspire a new wave of bullishness, pushing Binance Coin above the 200-day Simple Moving Average (SMA) at $300.6 or higher to breach the resistance confluence between the 50-day and 100-day SMA at $313.5.

The ensuing buying pressure could see BNB price tag the 62% Fibonacci retracement at around $320.5 or the 70.5% Fibonacci retracement at $329.5. In a highly bullish case, the altcoin could tag the 79% Fibonacci retracement at $338.5, setting the tone for an extended rally north. 


Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.

Recommended content


Recommended Content

Editors’ Picks

Solana price slips as Canadian Sol Strategies files with US SEC to list on NASDAQ

Solana price slips as Canadian Sol Strategies files with US SEC to list on NASDAQ

Solana (SOL) price upside action stays subdued, leaving the smart contracts token vulnerable to downside risks. SOL is trading at $145 at the time of writing on Thursday, weighed down by elevated risks in the derivatives market. 

Crypto Today: Bitcoin, Ethereum pare losses as XRP wobbles amid an unstable derivatives market

Crypto Today: Bitcoin, Ethereum pare losses as XRP wobbles amid an unstable derivatives market

Price action in the broader cryptocurrency market remains subdued following the Federal Reserve (Fed) decision on Wednesday, which met expectations leaving interest rates unchanged in the range of 4.25% to 4.50%. 

Three reasons why Pi Network could drop below $0.50

Three reasons why Pi Network could drop below $0.50

Pi Network (PI) is trading in the red around 1% at press time on Thursday, risking a potential drop below the $0.50 psychological level. As the bearish trend gains traction, there are three reasons why Pi Network could drop below $0.50 in June. 

US DOJ reports record $225 million seizure of funds related to crypto confidence scams

US DOJ reports record $225 million seizure of funds related to crypto confidence scams

The US Department of Justice announced on Wednesday the largest cryptocurrency seizure in its history, targeting more than $225 million tied to crypto frauds. The FBI and the US Secret Service utilize advanced blockchain analysis to solve cryptocurrency confidence scams.

Bitcoin: BTC could slump to $100K amid Trump-Musk tussle

Bitcoin: BTC could slump to $100K amid Trump-Musk tussle

Bitcoin (BTC) tumbled to a low of $101,095 on Friday amid volatility in the market. The effect of the tussle between United States (US) President Donald Trump and Tesla Chief Elon Musk negatively influenced the NASDAQ and Tesla's stock price on Thursday, although both are recovering on Friday.

The Best brokers to trade EUR/USD

The Best brokers to trade EUR/USD

SPONSORED Discover the top brokers for trading EUR/USD in 2025. Our list features brokers with competitive spreads, fast execution, and powerful platforms. Whether you're a beginner or an expert, find the right partner to navigate the dynamic Forex market.

BTC

ETH

XRP