"CFTC Lawsuit Sends Bitcoin and Binance into a Nosedive"

Bitcoin's price dropped below $27,000 after the U.S. Commodity Futures Trading Commission (CFTC) filed a lawsuit against Binance and its founder Changpeng Zhao over allegations that the exchange knowingly offered unregistered crypto derivatives products in the U.S. The lawsuit caught traders off-guard, causing them to liquidate $39 million worth of BTC's long positions. The regulatory unclarity is a "concerning" factor for moving the markets, especially the specific allegations contained within the CFTC suit. Some crypto-related stocks also dropped, including Coinbase and Marathon Digital Holdings.