Binance coin (BNB) continues to show its potential in recent times by flipping strong resistance and staying above them. Since the Binance coin crossed the $180 mark, it continues to trade well above it.
Even during the recent price corrections, the $180 support level was not tested. Instead, the coin went as high as $367 prior to correction marking its latest all-time high. After the recent price correction and the surge that started this week, BNB has recorded a gain of 20% in the past seven days.
BNB is expected to do more as traders are looking forward to a repeat of what happened during the recent price hike or something close to this previous event is expected to take place as most cryptos are in the green and beating their intraday high daily.
To seal the deal for a new all-time high, BNB must first above $290. Unfortunately, this is not the case for the coin due to various reasons. One of the reasons is that the conditions that are present in the market at this time are not as favourable as it was before.
In February, before the dip, there was much hype surrounding the Binance coin and the Binance Smart Chain project, which attracted a lot of investors. More holders and buyers rallied the market to its current ATH. Now, there is slightly a larger amount of hodlers than the traders.
This translates to the current price movement BNB is facing today. More hodlers results at a stable price at around $275 and $295. The price tussle between $275 and $295 is a result of the traders playing for profits within that range.
The current market feature is risky because people who hold their digital assets without trading them can decide to sell them, creating sellers congestion and leading to a price correction.
To get more from the current market, investors need to be more active in the market especially stocking BNB. A recent report of CFTC charges against Binance didn’t do that quest any good.
Interestingly, the market seemed to have shaken that off by recovering to above $260 after it temporarily lost the $250 support. Time will now tell whether the market can build on the recovery to propel prices back to record highs.
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This article is Originally posted on CoinCentral.com
Author: Gideon Geoffrey