Binance Burns Over 2 Million BNB Tokens, Shocking Crypto Investors!
- Binance burns over 2 million BNB, taking $674M out of circulation as price trades at $333, about half its ATH.
- The latest auto-burn takes the number of BNB in circulation to 155,166,772.80.
- BNB price chart looks decisively bullish, breaking out from a long-term descending resistance line and initiating an upward movement.
Binance has burned 2,020,132.25 BNB in its 23rd quarterly burn.
This brings the total amount of BNB taken out of circulation to $674 million, which is about half its all-time high. The latest burn includes about 656 BNB ($218,000) as part of the exchange’s Pioneer Burn Program, which was introduced in 2020 to help users who lose assets by sending them to the wrong address. Binance’s auto-burn system adjusts the amount of BNB according to the coin’s price and the number of blocks generated on the BNB Chain. Interestingly, Binance’s first quarterly burn occurred in October 2017 when the token’s price was just $1.52.
Despite the recent burn, the BNB price chart suggests a bullish trend. The price broke out from a long-term descending resistance line and validated it as support, creating a long lower wick and initiating the current upward movement. The wave count also supports the increase, suggesting that the price is in wave three of a five-wave upward movement. The sub-wave count is given in black, also indicating that the price is in sub-wave three. As a result, BNB could be in the portion of the movement in which the rate of increase accelerates.
The most likely target for a top would be at $453, a horizontal resistance area. Reaching it would also give waves one and three a 1:1.61 ratio. However, the $330 resistance area is currently an obstacle to the ongoing increase. A daily close above it would confirm the bullish trend and could accelerate the upward movement. On the other hand, a rejection would lead to a retest of the long-term resistance line at $300.
DISCLAIMER: The Information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.
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