While on an interview with a popular media outfit, Binance CEO claimed that many financial institutions are entering the crypto space. He said he is making the statement based on the volume of transactions his company is witnessing from institutional investors.
Institutional Investing And NFT Boom
“While they aren’t moving all their money now, they are certainly considering it,” he further said. The exchange chief opined that the funds available to crypto projects would enable their developers to create more use cases using these digital assets. He also claimed that the NFT boom isn’t over as many people think, saying that his company’s NFT marketplace is still in discussion with several other digital creators, and the niche would still expand further.
When asked about recent challenges facing Binance from regulatory authorities, the Binance boss revealed that it is time for his exchange to have physical locations in various regions to appease the regulators. He also said Binance’s position as a leading exchange makes it necessary always to be ready for any significant changes in the industry.
Binance has issued several warning notices by several financial regulators from different regions. However, the regulators could only ban the exchange’s operations from their countries since the exchange has no physical office in any location around the world.
BNB Bounces At Crucial Support Zone
Various technical indicators show that the price action of Binance’s governance token isn’t clear over the long term. BNB has been behaving like most other altcoins following the may crash and last week’s flash crash. But it is now about to create its first lower high to set it on its way to its peak price.
Also, the 7-day technical indicators aren’t consistent with one another. The MACD is moving towards the negative region (it is positive now), the RSI is also decreasing below its current value of 50.
Nevertheless, top crypto trader (thebull_crypto) forecasts that BNB could trade hands for $2k by December 2021. Since the 7-day charts give no clear indication of the direction of BNB, it becomes necessary to check the short-time charts.
BNB Short-Term Chart Analysis
After reaching a local high of about $519 late last month, BNB has been spiraling downwards. It failed to sustain the 0.619 fib retracement and declined further again. It found support at the 0.5 fib retracement levels which coincides with the $386 price range.
However, the decreasing MACD and RSI indicate bearishness. Conversely, the 6-hour chart indicates bullishness. This chart indicated that BNB surged past the parallel channel early last month before reaching the local high mentioned above. But the decline is similar to wave four of the whale pullback.
If this is true, BNB will embark on a fresh bullish run. Then, it will undergo a short price correction before another bullish run. Its new resistance for this next bullish run will be the $556 price range. This range coincides with the 1.265 Fib retracement levels. If it surpasses this $556 resistance range, its next resistance will be at $663.