Good CPI data boosts cryptos, but Binance's situation is a concern

The cryptocurrency market continues to rise. Bitcoin (BTC) rallies 3.75% in the last 24 hours and tries to reconquer $18,000, a level it hasn´t reached for more than a month, while Ehereum (ETH) bounces more than 4% and consolidates at $1,300.

The good November inflation data in the United States completely changed the dynamics of digital assets. Price increases in the world's leading economy cooled more than expected in the eleventh month of the year, to 7.1% versus 7.3% expected by the consensus and 7.7% in October. The data seem to support the moderation in monetary policy by the Federal Reserve (Fed), which could execute a 50 basis point interest rate hike today, on Wednesday.

"There is no doubt that BTC prices are oversold, no matter what metric you look at when it comes to technical price analysis," explained Naeem Aslam, chief market analyst at AvaTrade, who believes that "there is more scope for the price to continue to rise and, in fact, we could see the price above $20,000 before the end of the year if the current momentum continues."

Ipek Ozkardeskaya, senior analyst at Swissquote Bank, stressed that despite all the drama regarding FTX "Bitcoin couldn´t care less"; it is worth remembering that yesterday, on Tuesday, Sam Bankman-Fried was arrested in the Bahamas and the SEC and the US Attorney's Office announced charges against the founder of the ill-fated 'exchange'. "More drama may not hit the reigning cryptocurrency hard," the expert added.

On the other hand, the situation at Binance is worrying. The world's largest cryptocurrency exchange is recording significant cash withdrawals in recent hours and its CEO, Changpeng Zhao, warned his workers that difficult times are ahead for the company. It is worth noting that 'Reuters' published that Binance and Zhao, as well as other senior officials of the platform, are being investigated by the U.S. Department of Justice for possible money laundering.

On another note, John J. Ray III, new CEO and in charge of overseeing FTX´s liquidation, pointed out in an appearance before the US House of Representatives that the collapse of the platform "is about old-fashioned embezzlement." "It's simply taking money from customers and using it for your own purposes. It's nothing sophisticated. Sophisticated, maybe in the way they hide something, frankly, in front of their own eyes. This is just plain embezzlement. Old school, old school," explained Ray, who had previously claimed that FTX's bankruptcy was worse than that of energy giant Enron.

In other market news, there have been gains across the board, with strong rises for Dogecoin (DOGE), Cardano (ADA), Polygon (MATIC), Polkadot (DOT) Litecoin (LTC) and Solana (SOL), which soared 7% in the last hours, although it is still the 'crypto' most affected by FTX´s fall.