Binance Coin (BNB) Prices Are Flat, Is Changpeng “Killing” ETH?

technical analysis altcoins

By rebranding and delisting PHX/ETH trading pairs, observers say Binance is deliberately sidelining Ethereum projects. Understandably, Binance following their mainnet launch is a competitor. At the time of writing, BNB is down 3.1 percent.

Binance Coin Price Analysis

Fundamentals

Competition forces innovation. Following governments and regulator involvement, ICOs as a fundraising model was slowed down. With stringent requirements and outright bans in several countries, including in China and South Korea, project managers were forced to shelve their plans or exclude investors in their crowdfunding.

Finding a gap, Binance launched its crowdfunding platform, the Binance Launchpad. Through this fundraising model, many analysts reckon that the exchange is the ultimate “Ethereum killer.”

The reason is because of the exchange’s decision not to list several tokens against ETH and in some cases entice projects away from Ethereum platform. Their plan of Binance Chain could be a reason.

However, their decision of not listing trading pairs against ETH is a cause of concern and even foul play. The rebranding of Red Pulse Phoenix Binance (PHB) and listing of new trading pairs was a signal:

“Additionally, Binance will open trading for PHB/BNB, PHB/BTC, PHB/USDC, PHB/TUSD, and PHB/PAX trading pairs at 2019/05/24 04:00 (UTC). Once trading opens, the previous PHX/BNB, PHX/BTC, and PHX/ETH trading pairs will be removed and delisted.”

Meanwhile, Binance will open a new branch in Singapore, enabling trading of fiat pairs. An upgrade from the one trading pair it previously supported, Binance Singapore now supports Litecoin, Bitcoin and Ethereum against Singaporean Dollar. Besides, Singapore Fast and Secure Transfers system will enable fast deposit and withdrawal.

Candlestick Arrangement

Although Binance is expanding, BNB is under pressure. Technically bullish, BNB is down 3.1 percent in the last day, printing dojis at $30. Even though bulls have a chance, depending on the performance of Bitcoin and other liquid assets, BNB may slide.

In that case, a needed retracement to $25 or lower could be on the cards. Note that BNB is one of the top performers in the first half of the year. Posting near perpendicular ascension, it is likely that there is exhaustion.

However, if buyers flow back, then any breach and close above $43 could see BNB rally to $70. Cementing buyers, the breakout candlestick ought to be with high trading volumes exceeding 4.9 million of June 14.

Technical Indicators

Aforementioned, June 14 bear candlestick leads this trade plan. Marking buyers, the rally past $43 ought to be with high participation above 4.9 million. On the other hand, losses below $30, signaling cooling prices should be with equally high trading volumes.

Chart courtesy of Trading View. Image Courtesy of Shutterstock

 

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