Dear Binance Coin [BNB] investors, here’s what you really must know
Binance Coin [BNB] has not been spared from the prevailing selling pressure that has overwhelmed the cryptocurrency market. In fact, according to data from Coinglass, $1,057,144 was liquidated from the BNB market in the last 24 hours.
This, on the back of the ongoing wave of daily liquidations in the general cryptocurrency market. These have become even more pronounced since 19 August. At the time of writing, BNB was exchanging hands at $290.74, hiking by a meagre 1% in the last 21 days.
A look at the daily chart pointed to a gloomy next few weeks for the 5th largest cryptocurrency. As per data from TradingView, the intersection of the MACD line with the trend line in a downward curve on 14 August indicated the start of a new bear cycle.
Investors pumping liquidity into an asset by sustained asset accumulation can help drive its price. Since the beginning of the month, price movements on the daily chart have indicated that low liquidity has been thrown into the BNB market. Over the course of the last 21 days, the key indicators to look at to analyze buying/selling behavior has declined consistently, showing waning buying pressure.
As of this writing, BNB’s Relative Strength Index (RSI) stood at 46. Its Money Flow Index(MFI), closer to the oversold terrain, was spotted at 37. Its Chaikin Money Flow (CMF) which has since taken on a downtrend since the month started, posted a value of -0.14. The positions marked by these key indicators revealed that the general bearishness of the market had impacted BNB as more investors have taken to coin distribution to recoup profit.
Source: TradingView
Following a 6-month-long period of coin dormancy, BNB got some action in July, with the bull run forcing its price to climb by double
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