What is Bitcoin Cash

Binance Coin (BNB) is the native crypto asset of the Binance ecosystem. Binance began as essentially just a crypto exchange, but it has since branched out its offerings. It launched Binance Coin in 2017 via an initial coin offering (ICO). BNB is the main asset for Binance’s platform, serving a number of roles, including as a method of fee reduction on the exchange and as a currency in which to pay fees for activities on Binance Coin’s main blockchain, Binance Chain (BC), and its sister chain, Binance Smart Chain (BSC).

Binance got its start in 2017, quickly launching an ICO in which it sold and allocated BNB tokens. Back then, Binance Coin was an ERC-20 token on the Ethereum blockchain. However, Binance launched a mainnet blockchain, Binance Chain, in 2019 with BNB as its coin. A token swap was conducted to change ERC-20 BNB tokens over to Binance Chain-based BNB coins. In 2020, Binance Smart Chain took flight as a separate compatible blockchain alongside Binance Chain.

What is the situation of BNB recently

The native token of Binance Chain now features a staking mechanism, thanks to the launch of Binance Smart Chain. Currently, BNB holders have a key role in powering the Binance Smart Chain, and they benefit from the process by growing their funds through staking.

Binance Coin (BNB) broke below the support line of the descending channel on Jan. 10, but the bears could not achieve a close below it as seen from the long tail on the day’s candlestick.

This could have caught the aggressive bears off guard, resulting in a short squeeze on Jan. 11. Follow-up buying on Jan. 12 has pushed the price to the 20-day EMA ($489). If bulls clear this hurdle, the BNB/USDT pair could rise to the 50-day SMA ($542).

A break and close above this resistance will suggest that the downtrend could be over. The pair could then rise to $617. Conversely, if the price turns down from the 20-day EMA or the downtrend line, the bears will again try to pull the price to the support line of the channel.

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