BNB Foundation has just wrapped up its 28th quarterly BNB token burn, removing a substantial 1,643,698.8 BNB from circulation, equivalent to roughly $971 million, as highlighted by Colin Wu, a Chinese reporter.
With such a significant reduction in the total supply, investors are keenly observing how BNB’s price will respond. At press time, BNB is trading at $594.04, maintaining a market capitalization of approximately $86.7 billion.
Over the past 24 hours, trading volume has surged by nearly 24% to $1.9 billion, signaling heightened market activity and potential momentum. Despite this, the market cap has seen a slight decrease of 0.86%, indicating possible profit-taking or selling pressure despite recent price gains.
Support levels are crucial in understanding BNB’s price dynamics. The $592 mark has proven to be a reliable support level, with multiple price dips rebounding from this point. If the price falls below this, $585 stands as another strong support, showing where buying interest has previously increased. Furthermore, $580 stands as another strong support base, acting as a critical level.
On the resistance front, BNB faces significant hurdles. The $600 level serves as a psychological barrier where the price has encountered selling pressure. This resistance has been tested multiple times and remains a crucial point for the bulls.
Binance Coin (BNB) Signals Potential Bullish Rally: An AnalysisAbove this, the $605 resistance has also been a challenge, and breaking through it could lead to testing the $610 level, which might be the next target if the price manages to surpass $600 and $605.
The increase in volume by 24% suggests that interest in BNB is growing, which could propel its price upward if this momentum continues. Moreover, the 1-day RSI reading of 58.42 and the 1-day MACD, which is trading above the signal line, hint at potential short-term bullish momentum.
