The BNB price is currently attempting to break a resistance line that it has been encountering for two years. For investors, it feels as if BNB’s returns are lagging behind those of the rest of the market and therefore there is little optimism.
Can the coin break that feeling and surprise everyone again with a fantastic bull run?
Should BNB Investors Be Worried?
Based on the chart below from Santiment, sentiment (yellow) around BNB appears to be heading towards a low point at the moment, while social volume is still very high.
In general, that is not a good sign for the price, as the chart shows. Sentiment for BNB is currently at its lowest level in nine months. That is of course special at a time when the Bitcoin price is through the roof.
Furthermore, BNB’s MVRV Z-score is not rosy for the altcoin at the moment. The MVRV Z-score compares a coin’s market value to its realized value (the average price at which all coins last changed hands).
A positive score implies that a project is overvalued and a negative score indicates undervaluation. Currently, BNB appears to be breaking past 2.73, suggesting the coin is overvalued at the moment.
Everything depends on Bitcoin
Ultimately, much depends on the further development of the Bitcoin price. Even if the sentiment around a coin is bearish, it could rise if the Bitcoin price starts another catapult rise.
Bitcoin is currently near its all-time high at $69,500. One burst could be enough to lift the BNB price past the $500 resistance.
In that respect, the market remains an unpredictable beast. It can thaw and it can freeze. That is and remains the story and that is why it is important to choose investments for the long term and not to be continuously influenced by all kinds of short-term developments.
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Source: https://newsbit.nl/kan-de-bnb-koers-het-niveau-van-500-dollar-bereiken/
