Binance burned over two million BNB tokens worth over $500 million.
The price of BNB was on an uptrend and in the overbought zone at the time of writing.
On January 17 Binance [BNB] announced the completion of its 22nd burn event. This burn event involved nearly two million BNB tokens worth more than $500 million. Will the burn event affect BNB’s token in the long run?
Here’s everything you need to know about the first quarterly burn of 2023 and a few words from it @cz_binance ⬇️https://t.co/sIrWpnUxIL
— Binance (@binance) January 17, 2023
How much are 1,10,100 BNBs worth today?
BNB token impending downtrend, but uptrend for now
BNB was trading at 302.7 on the daily time frame at the time of writing, losing almost 2% of its value in the previous trading periods. According to the chart, the asset was in an uptick before the slight decline. The price range tool revealed that the coin was up 22% from the start of the uptrend to the press time position.
Some indicators suggested that despite the small decline, BNB was still in a positive trend. When seen, the Moving Average Convergence Divergence (MACD) was above 0, indicating the asset’s positive sentiment.
On the Directional Movement Index, the signal and plus DI lines (yellow and green lines, respectively) were above 20. The Relative Strength Index line was finally above 70. Finally, the RSI line indicated a bull trend and a imminent price correction.
Volume average but holders in profit
At the time of writing, the Volume indicator showed that BNB had accumulated more than 540 million in transactions. When comparing the current volume level with other places on the map, it was clear that the volume was around average.
However, the market value to realized value ratio showed that BNB holders were profitable over the past 30 days. At the time of writing, the MVRV ratio was over 7%, indicating that investors have been making profits during that time. The chart also showed a progressive decline in profitability.
Realistic or not, here is the BNB market cap in terms of BTC
The tokenomics behind the BNB token suggested that the burns would ultimately increase the value of the token. While it was unclear at press time whether this strategy would be successful, holders can hope for an increase in the value of their assets over time.
This post BNB is headed for this area after Binance’s $500 million burning event
was published first on https://ambcrypto.com/bnb-is-headed-to-this-area-after-binances-burn-event-worth-500-million/