Will Binance’s New Regulatory Win Help BNB Price Avoid $500 Breakdown?

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As a seasoned crypto investor with memories of the 2017 bull run still fresh in my mind, I find myself both intrigued and slightly concerned by Binance’s latest regulatory win in Argentina. On one hand, it’s encouraging to see Binance expanding its global reach and complying with local regulations. This could potentially lead to a more robust, secure, and transparent crypto ecosystem, as the company’s head of Latin America, Guilherme Nazar, suggests.

In the past 24 hours, BNB‘s price dropped approximately 3.4%, now standing at $554. This decline is due to renewed selling pressure, possibly caused by the recent drop in Bitcoin‘s price below $65,000 as geopolitical tensions between Israel and Iran intensify. Despite this broader market downturn, Binance has continued to grow its influence globally by recently obtaining regulatory approval from Argentina’s National Securities Commission (CNV).

Will Binance’s Latest Regulatory Win Shield BNB Price From a $500 Breakdown?

In simple terms, Binance, the world’s largest cryptocurrency trading platform by volume, has reached its 20th regulatory milestone globally. This significant step involves registering as a Virtual Asset Service Provider (VASP) in Argentina. Consequently, Binance’s mobile and web applications are now open for use by Argentine residents, since the exchange is officially licensed to operate as a crypto service provider within the country.

After the latest registrations in Kazakhstan, India, and Indonesia, VASP approval for Binance has been granted. This empowers Binance to solidify its regulatory presence on a global scale.

Guilherme Nazar, Head of Latin America at Binance, states that Argentina holds significant importance for their platform. They plan to collaborate extensively with local authorities to foster the cryptocurrency sector in a manner that is both environmentally friendly and secure, ultimately contributing to the well-being of the crypto community and society as a whole.

In other words, Binance’s commitment to adhering to regulatory standards underscores their dedication to building a stronger, safer, and more transparent cryptocurrency environment. This commitment, in turn, tends to increase the demand for BNB, which is their native cryptocurrency.

On September 27, 2024, Changpeng Zhao, the ex-CEO of Binance, completed his four-month incarceration in a U.S. federal prison. This was due to his lack of implementing stringent anti-money laundering (AML) practices at Binance.

BNB Coin Hints 4% Drop Before Major Reversal

In the midst of geopolitical unrest, the price of BNB has dropped significantly from $618 to $554, representing a 13.2% decrease. This downward trend contradicts the $600 breakout observed in late September, indicating that sellers currently have more control over this digital asset.

If buying pressure continues to ease, the price of Binance coin might drop by about 4% more, reaching approximately $530 again. This level, which is also where an upward-sloping trendline dating back to August 2024 currently lies, could potentially serve as a strong point for a price reversal.

As a researcher, I’m observing a potential bullish reversal in the market. This trend change is likely due to persistent buying activity among investors who are accumulating more at market lows. Consequently, I anticipate that the BNB price may experience a 11.8% surge, attempting to breach the $200 resistance once more and potentially reaching towards the $721 mark.

If the BNB price drops beneath its support line, the downward trend could gain pace, potentially leading to a more extended fall towards the level of $471.

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2024-10-02 07:04