Binance Coin (BNB / USD) is hovering near its highest level since May 19, even as increased regulatory scrutiny surrounds Binance. The coin is trading at $ 500, which is roughly 140% above the lowest level in June this year.
Binance Challenges Increase
Binance is the largest cryptocurrency exchange in the world. According to CoinMarketCap, the exchange volume has increased by more than 20% in the last 24 hours to more than 33,000 million dollars. Coinbase ranks a distant second after having processed cryptocurrencies worth more than $ 4.9 billion.
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This trend ignores the significant challenges facing Binance. In recent months, more regulators have issued warnings about Binance and the risks it poses. The most recent regulator to warn about Binance was the Monetary Authority of Singapore (MAS). The regulator asked the company to stop its operations in the country.
Other major regulators who have warned about Binance are from the Netherlands, United Kingdom (UK), United States (US), and South Africa. The main concern is that Binance is operating in these countries without the necessary approvals.
Worse still, the company does not have a headquarters, making it difficult to find resources for customers to complain. The firm is addressing some of these concerns. For example, you have launched an independent regulated company, known as Binance.us, in the US This exchange had a volume of almost $ 1 billion in the last 24 hours.
The price of Binance Coin has increased due to strong demand for products offered by Binance. At the same time, decentralized finance (DeFi) and the NFT space that the Binance Smart Chain (BSc) network is in have done relatively well.
Still, the biggest concern for BNB is that competition among Ethereum killers is increasing, with projects like Solana and Avalanche generating a lot of interest.
Binance Coin Price Prediction
The daily chart shows that the price of BNB has been in a strong uptrend in recent weeks. Along the way, it has moved slightly above the upper side of the triangle pattern shown in black. It has also risen above the 25- and 50-day moving averages and has formed a bullish flag. In particular, the coin is roughly 40% below its all-time high.
Hence, there is a chance that the coin will maintain its uptrend as investors are targeting the all-time high. This view will be invalidated if the price moves below the key support at $ 400.
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