Blumenthal's Investigation into Binance: ALT Price Impact

US Senator Richard Blumenthal, as a senior member of the Senate Permanent Subcommittee on Investigations, has launched a new congressional investigation into the crypto exchange Binance. According to reports from the Wall Street Journal, New York Times, and Fortune, the platform has conducted approximately $1.7 billion in transactions related to sanctioned Iran-linked entities and Russia's oil "shadow fleet." This development is increasing concerns about regulatory pressure in the crypto market, affecting altcoins like ALT.

Senator Blumenthal's Details of the Binance Investigation

Blumenthal has initiated a comprehensive review claiming that Binance is not complying with sanctions. The shadow fleet refers to Russia's old tanker fleet used to bypass sanctions; the Iranian Revolutionary Guard Corps (IRGC) is designated as a terrorist organization by the US. Reports suggest that these transactions facilitate money laundering.

Letter Sent to Binance CEO and Request for Documents

Blumenthal sent a letter to Binance CEO Richard Teng requesting documents including sanctions compliance checks, internal records, and transfers by intermediaries like Hexa Whale and Blessed Trust to IRGC-linked wallets. The deadline for response is March 6, 2026. This request will test the platform's transparency.

Binance’s response to Fortune report. Source: Richard Teng

Questioning Binance's 2023 US Agreement

The investigation is casting a shadow over Binance's $4.3 billion money laundering and sanctions violation agreement with US authorities in 2023. Founder Changpeng Zhao (CZ) had served a four-month prison sentence. New allegations imply that compliance reforms are insufficient.

Official Response from Binance and Compliance Defense

A Binance spokesperson rejected the allegations, stating that they detect and report suspicious activities and do not provide platform access to Iranian users. They emphasized their compliance transformation in recent years: Trading volume in risky jurisdictions has decreased by 97% since January 2024 to 0.009%. Teng called the Wall Street Journal report slander. This defense could influence the course of the investigation.

ALT Price and Market Impact of Binance Investigation

This news created selling pressure in the overall crypto market, pulling ALT down. Current data: Price $0.01, 24h change +%2.34. However, RSI 32.27 (Oversold), downtrend, Supertrend Bearish. EMA 20: $0.0084. Regulatory risks are unsettling ALT investors. Click for detailed ALT analysis.

ALT Support and Resistance Levels Table

Level	Price	Score	Distance	Sources
S1	$0.0069	71/100 (⭐ Strong)	-%7.13	Fibo 0.000, Donchian Lower, S2
S2	$0.0073	62/100 (⭐ Strong)	-%1.75	S1, Prev Day Close, Stoch OS
R1	$0.0075	67/100 (⭐ Strong)	+%0.94	Prev Day High, R1, Doji
R2	$0.0137	63/100 (⭐ Strong)	+%84.39	Fibo 0.618, HVN 4, Donchian Upper

S1 level is strong support; if broken, the decline will deepen. Check ALT futures for futures trading. The market is awaiting the investigation's outcome.