CZ Lists Possible Reasons for the Crypto Slump and Says Binance Did Not Sell

Binance founder and former CEO Changpeng Zhao (CZ) said no one knows for sure why crypto prices are falling and that correlation does not prove causation, before setting out possible explanations in a post on X. He noted bitcoin hit a low of $62,006 on Sunday, a level he said was worth recording for future reference. He pointed first to money shifting into the Anthropic IPO. He also cited ETF outflows, noting U.S. spot bitcoin ETFs saw about $1.9 billion of redemptions across seven trading sessions through Nov. 13, with ether funds recording withdrawals as well. Security fears were another factor. CZ listed the Binance hack, iPhone-linked crypto wallets being drained, a Chrome exploit and Microsoft being down, saying such incidents may make some people less willing to keep funds in crypto. Hot U.S. inflation has raised expectations of another Fed rate hike, and he noted that higher yields and a stronger dollar can weigh on riskier assets such as crypto. Political uncertainty from the midterm results has also fuelled concern about potentially stricter U.S. crypto policy. CZ rejected one explanation outright, saying Binance did not sell crypto. He added that he had bought crypto in the past few days after receiving stablecoins, joking that this might be the cause. He said crypto will keep growing over the medium to long term, adding that the views were his own and not financial advice.