An ASCII file might be read or interpreted as having NULL-terminated strings, carriage returns & line-feeds, or other control characters, that are intended to be read and acted on. For example, a text reader might look for a line of text, where a line is "however many characters you see before you get to a linefeed"
A binary file is considered to be just a sequence of bytes - none of them has any special meaning, in the sens that a text-reader would interpret them.
\x00 is an example of a specific byte value (HEX 0), that might be interpreted in a special way by a text reader.