The Binance Coin has been among the poor-performing coins in September. The BNB coin has declined more than 33% since the start of September and more nearly 9% in the last seven days. Other poor-performing coins include Litecoin, Bitcoin Cash, Polygon, Internet Computer, and many more. However, the total volume of BNB traded in the last 24 hours has climbed 27% to $1.8 billion. The coin’s total market capitalization has also inched 8.54% higher to $59 billion, ranking it as the 5th largest cryptocurrency in the world.
What is BNB and how does it work?
Binance is the biggest cryptocurrency exchange in the world based on daily trading volume. The platform was launched in July 2017 and aims at bringing cryptocurrency exchanges to the forefront of financial activity globally. The platform was started by Changpeng Zhao, the current CEO of Binance, and was later joined by He Yi.
Binance has launched a whole ecosystem of functionalities for its users. The network includes the Binance Chain, Binance Smart Chain, Binance Academy, Trust Wallet, and Research projects. The network is a unique ecosystem of decentralized, blockchain-based networks.
The Binance coin started as a traditional ERC-20 token on the Ethereum blockchain. However, the company introduced its own blockchain later. The coins are secured by the Tendermint byzantine-fault-tolerant consensus mechanism. The Binance blockchain does not support smart contract functionalities.
Binance Coin Price Analysis
The daily chart indicates that the Binance Coin price has been on a downward trend for the past four weeks. At the time of writing, it was trading 1.66% higher at $349.7. It is moving below the 50-day and 200-day moving averages. Its RSI is weaker at 37, which is a bearish sign.
Therefore, the BNB price is likely to extend its bearish outlook as the bears target the key support at $220. However, a move past the 50 DMA will invalidate this view.