BNB, the primary token of the BNB Chain used for Binance fee discounts, experienced a 3.3% decline over the last 24 hours, dropping from $1,117 to a low of $1,063 before stabilizing just under $1,080.
This sell-off wiped out recent gains and broke through critical technical levels, as noted by CoinDesk Research’s technical analysis model. There was an 87% increase in trading volume above the 24-hour average during this downturn.
The price movement came after a significant drop in bitcoin and other cryptocurrencies, reflecting a broader retreat in crypto markets as excessive leverage was cleared out. The overall market, as represented by the CoinDesk 20 (CD20) index, is down 2.74%.
The downturn gained traction as algorithmic trading systems activated, triggering a wave of sell orders that drove prices further down. Once demand picked up, BNB found tentative support around the $1,070 level.
Efforts to recover were feeble. Price halted near $1,075, where selling resumed, keeping BNB confined within a narrow range. Shorter-term charts show that momentum indicators have weakened but not completely reversed, and buyers remain cautious without a more defined trend.
The ability to maintain this level could determine if this was a one-off capitulation or the start of a more significant correction. Currently, traders are observing $1,070 as a critical support level.
Disclaimer: Some parts of this article were generated with AI assistance and reviewed by our editorial team to ensure accuracy and compliance with our standards. For further details, refer to CoinDesk’s full AI Policy.
