Binance Coin token (BNB), which is a part of the Binance network, has been declining for five days in a row. The token fell from $611,4 at the end of October to $562 on November 1, its lowest level since Oct. 14,
The BNB token’s retreat coincides with the drop in the fear and greed crypto index. It has gone from a greed zone of 65 last week, to a neutral point of only 55.
The majority of coins also suffered an abrupt reversal. It has fallen to $68,430 from $73,500, which triggered a massive dive in other coins. Ethereum dropped to $2.443, which could be a continuation of the fall I predicted.
Solana also fell below $160 while XRP plummeted to $0.50. Most of the time, Bitcoin and other altcoins tend to retreat when fear and greed is on the decline.
US election ahead
First, the US elections are coming up on Tuesday. Donald Trump and Kamalah Harris will be facing off.
Polls indicate that unlike other elections, this election will be much closer than anticipated. The New York Times reports that Harris is ahead of the average national polling by a mere 1%. This means it’s a virtual tie.
In Pennsylvania the two have the same numbers, but Donald Trump is ahead in Georgia, Nevada and Arizona. North Carolina has a lead of less than 3 %.
These polls indicate that there is a good chance the result of this election will be either positive or negative. In the past, however, the polls were not accurate at predicting US elections. In 2016, for example, most polls had predicted Hillary Clinton as the winner.
Similar to the midterm elections, the majority of polls predicted a Republican sweep, but that did not occur.
The prediction market predicts that Trump will be elected. His Polymarket odds, however, have fallen sharply over the last few days. These odds reached a peak of 67 last week and are now down to 55.
The crypto market is ideally predicting that Trump will win because of Trump’s pledge to create a regulatory environment with fewer restrictions. His first step will be to replace Gary Gensler with a conservative SEC chief.
Trump’s appointment of conservative justices to the Supreme Court will also be a factor. These justices have a history of favoring business.
In reality, cryptocurrencies such as BNB token are likely to do well with both Presidents. In addition, cryptocurrency has historically performed well under either party in power.
Binance Smart Chain loses market share
The BNB token has also retreated, even though the developers have burned another large amount of tokens that is worth more than $1.07billion.
Token burning is the act of moving tokens to a wallet that’s inaccessible. This is the most effective way to reduce the number of BNBs that are in circulation and make the ones left more valuable.
Token burns are the opposite to unlocks, where tokens released on the market. CoinGecko reports that BNB’s circulating supply is 145 millions, compared to a total supply of 200,000,000.
According to data, the BNB Smart Chain is losing market share within the Decentralized Finance (DeFi), industry. DeFi Llama reports that the BSC Chain DEX network handled tokens valued at $24 billion last October. This is much less than Solana Ethereum Base.
BNB has handled over $5 billion worth of volume within the past seven days. This makes it the 4th largest chain in this industry.
Base has caught up to BNB, with a value of 4,45 billion dollars locked in its DeFi business.
BNB Price Forecast
TradingView BNB Chart
BNB has been retreating in recent days, as can be seen on the daily chart. The BNB token retreated after it tested the key resistance level of $605, which it had not been able to surpass since last June. The horizontal portion of an ascending triangle is represented by this price.
This is the same neckline as the popular reversed sign, the head-and-shoulders pattern.
BNB is trading between Fibonacci levels of 23.6% to 38.2%. The coin is likely to have a breakout due to the H&S pattern. Watch out for $605, the next level.
The next target level is $720. This would be the highest level this year and would represent a 28% increase over the current level.
This article Binance Coin BNB price prediction: Inverse H&S indicates a rebound first appeared on The ICD
