BNB coin hit an all-time high the previous week and the price dipped to $616.
RSI was marked at 47.31, amid facing selling pressure.
Binance Coin (BNB), the native token of the world’s largest crypto exchange, soared to a record high of $720 on June 6th. However, within a week, its value tumbled to $616, leading to a 7.13% decline over the past 24 hours.
Moreover, BNB’s market capitalization surged to over $109 billion before settling at $91 billion currently, according to data from CoinGecko. Despite the recent dip, the token’s trading volume saw an impressive 98.99% increase, reaching $3.61 billion.
Adding to Binance’s momentum, Richard Teng, CEO of Binance, disclosed that the platform’s user base has now surpassed 200 million. This milestone further solidifies Binance’s status as the leading crypto exchange by trading volume. However, these come against the backdrop of the exchange’s founder, Changpeng Zhao, receiving a four-month prison sentence in the U.S. for failing to prevent money laundering on the platform. Zhao’s guilty plea and agreement to pay a $50 million fine underscore the regulatory challenges facing major crypto exchanges.
Will the Bears Pull Back the Price?
The daily Relative Strength Index (RSI) of BNB stands at 47.31, indicating that traders are selling rather than buying and are driving the price down.
If the price of BNB remains above $600 and continues to increase, the first major resistance could be at the $669 level, and by following this, the next key resistance can occur in the $780 range. Further gains will drive the price towards the $898 level.
In contrast, if the price fails to move above the $670 resistance zone, it could dip, with immediate support in the $565 range. Then, key support occurs in the range of $479. A further drop might take the price towards the $349 level.
