2023-03-09 02:45:00 ET
Binance Coin ( BNB/USD ) price drifted lower amid rising outflows in Binance’s ecosystem dropped. The BNB coin dropped to a low of $290, which was the lowest level since February 13th of this year. It has plunged by ~14% below the highest level this year.
Binance outflows increase
Binance, the biggest crypto exchange in the world, has come under intense pressure in the past few days. Data compiled DeFi Llama shows that the overall outflows in the past 24 hours came in at over $89.59 million. In the past 7 days, it has lost over $684 million and more than $2.3 billion.
Other exchanges have been in the industry have seen inflows in the past few days. For example, OKX has seen over $193 million and $210 million in inflows in the past 7 days and 30 days, respectively. Bitfinex, Crypto.com, and Huobi have all had inflows in this period.
A likely reason why Binance has lost money in the past 30 days is the ongoing regulatory scrutiny by American regulators. During the weekend, it was reported that Binance and Binance US operated more closely than previously known.
Binance and Binance US are different companies. The latter was created as a way of having a regulated exchange for American customers. Therefore, America’s regulators, like the Securities and Exchange Commission will likely increase their focus on the company.
The BNB Chain has seen the total value locked (TVL) in the ecosystem has plunged to 16.5 billion BNBs, the lowest level in months. In dollar terms, the TVL has crashed to $4.7 billion.
Meanwhile, Binance coin has risen even as the fees in the network have risen. Its fees have risen by 15.80% in the past 30 days to over $20 million. Its annualized fees have risen by 15.80% to over $248 million. The number of daily active users has risen by 29.7% to 1.06 million while code commits have jumped by 41%.
Binance Coin price prediction
The daily chart shows that the BNB coin price has been in a strong bearish trend in the past few days. It has crashed below the 50-day and 100-day moving averages. The coin has formed a bearish flag pattern, which is usually a bearish sign. At the same time, the Relative Strength Index (RSI) has continued retreating.
Therefore, the stock will likely continue falling as sellers target the key support at $257.4, the lowest level since January 5. This price is about 11% below the current level.
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