BNB price has reversed course following a six-day surge that pushed it to new all-time highs of $725 on June 6th. After reaching this peak, BNB dropped to a low of $635. As of the latest data from CoinMarketCap, the price is now hovering around $643, marking a 5% decline over the past 24 hours.
The bullish performance of BNB over the past month has been notable, with the layer 1 token climbing 10% in the last 30 days and a further 25% in June alone to reach its peak on June 6th. Despite this impressive rally, profit-taking has caused the price to retreat, potentially indicating further downward movement.
Despite facing regulatory challenges, Binance has shown resilience, with its BNB Smart Chain witnessing increased activity. However, recent data from DefiLlama reveals a decrease in total value locked on the network, likely influenced by the 11% drop in BNB’s price from its all-time high.
While BNB Chain remains a strong player in the layer 1 blockchain space, data from DappRaddar shows a 21% decrease in transaction volume over the last 30 days. Additionally, the number of Unique Active Wallets interacting with the BNB Chain has declined by 14% compared to Ethereum and Base.
Binance exchange, on the other hand, is experiencing reduced trading volumes amidst ongoing regulatory challenges in the US and Nigeria. Market share data from CCData indicates a decline of 17.3% in May, with daily trading volume on the exchange plummeting by over 83% from March to June.
Technically, BNB’s recent losses have invalidated a breakout from an ascending triangle pattern, with the price now testing support at $633. A break below this level could see BNB drop towards the trendline support at $600, representing a 7.6% decrease from current levels.
The sharp decline in BNB’s daily RSI further suggests a potential continuation of the correction in the near future. It’s important to note that this article does not provide investment advice, and readers should conduct their own research before making any financial decisions.