Rumors and manipulation: Binance FUD and Dogecoin pump cause stir in crypto market

Binance has faced rumors that Interpol issued a “red notice” for the Changpeng Zhao CEO, causing FUD and a drop in the BNB native token. Meanwhile, Elon Musk changed the Twitter emblem to the Dogecoin logo, causing another jump in the asset, and leading investors to accuse him of market manipulation.

These events highlight the unpredictable nature of the cryptocurrency market and the need for caution when making investment decisions, but let’s go into more detail.

Another round of FUD vs. Binance

• We checked the Interpol website for ourselves about the alleged search for CZ — Interpol did not send out any such notices.
• Earlier, well-known crypto influencer Cobie launched a rumor about Interpol’s request for the arrest of the head of Binance CZ — he published a hash of an encrypted 5-word phrase, which could be deciphered as “Interpol Red Notice on CZ.” Also published was a scan of the document allegedly notifying the head of Binance. The information caused a large wave of FUD, although Binance quickly denied this information. Later, Cobie himself admitted that it was a joke.
• According to Kaiko, over the last 2 weeks, the market share of Binance dropped by 16%. The share of the exchange fell sharply for the first time after a year of market dominance. As analysts suggest, the reason could be the lawsuits against the exchange and the end of the trading program with zero commission.

New Doge pump

Investors have accused Musk of manipulating the market, previously raising the price of Dogecoin by more than 36,000% and then crashing the market again. 

The class action lawsuit asks for $258 billion in damages (the annual budget of the average European country). However, Musk’s lawyers called the claims “a bizarre fabrication” and said there is nothing illegal about posting funny pictures known as memes on your personal Twitter.

As if wishing to troll the suitors, today Twitter’s logo was temporarily changed — instead of the usual blue hummingbird, there was the image of a dog breed called the Shiba Inu. In response, the price of DOGE rushed upward again and reached nearly $0.105 (+30%). Now the memecoin is already decreasing.