The number four ranked digital asset in terms of market capitalization, Binance Coin (BNB), is currently consolidating at the $300 price range and slightly above the 200-day moving average (green). This fact has been highlighted in the following BNB/USDT chart.
Also from the chart, it can be observed that the daily MACD is pointing towards some bullishness by attempting to cross the signal line below the baseline. Furthermore, the histograms of the MACD are in the green thus confirming a level of buying by traders. The daily MFI and RSI are also in overbought territory and could signal the beginning of a reversal by Binance Coin.
Binance Coin’s 16th Coin Burn Beckons
To note is that the end of June is also the end of the second quarter of 2021. Therefore, the team at Binance is most likely preparing for the announcement of the exchange’s 16th quarterly BNB coin burn. The last coin burn was the 15th such event at the exchange and resulted in the burning of 1.099 million BNB valued at $595.3 million at the time.
The last coin burn was the largest to date and in tune with the team’s commitment towards accelerating the process of reducing the total supply of BNB to 100 million coins, from the initial 200 million minted during the 2017 ICO.
The Daily Binance Coin Chart Hints of a Death Cross
At the time of writing, Binance Coin is trading at $306 and looks set to keep rising on the anticipation that Binance will announce the most recent coin burn in the days to follow.
However, as can be seen in the chart above, Binance Coin also looks set to experience a death cross on the daily chart as the 50-day moving average crosses the 200-day moving average from the top. Therefore, there is a slight possibility of some selling pressure due to traders who use technical analysis attempting to short Binance Coin due to the death cross.