While the market domination of the Binance Exchange increases rapidly, the stock market’s spot transaction volume leaves the sum of all other exchanges. This may strengthen the likelihood of BNB to rise to $ 618.
Market domination of the Binance Exchange is increasing
In the last week, BNB depreciated by 3.5 %. However, Binance’s spot transaction volume has increased its market domination by exceeding the sum of all other stock exchanges.
While the crypto market passes through the uncertainty, Binance’s market domination continues to rise. According to analyst Joao Wedson, Binance’s spot volume has passed the sum of all other stock markets.
Binance’s transaction volume is 8 times the level of Coinbase’s volume. Although the spot volume in the stock market has fallen in the last two months, Binance’s market domination continues to rise.
Binance’s volume determines market dynamics
At the beginning of 2024, Binance’s trading volume exceeded the sum of all other stock exchanges and had a major impact on liquidity and market dynamics.
In January 2024, with an increase in Binance volume, Bitcoin’s price rose from $ 42,000 to $ 73,000 in a few weeks. In the same period, Binance’s local tokens BNB increased from $ 335 to $ 645 and made significant growth.
Looking at the past data, Binance’s powerful spot process volume performance was usually a harbinger of the bull market tendency. After this rise, the market usually followed a positive trend.
Effect of Binance Development on the price of BNB
Despite the increasing domination of Binance, the BNB still has not passed to the rise trend. In fact, the expectation of decrease between large investors and retail users continues.
Recently, a large investor named Gnomelabs sold 10,850 BNB worth $ 6,51 million. According to over -chain data, Gnomelabs invested a total of 76.37 million USDC to Binance and Bybit.
The sales of an investor of this size shows that confidence in the market is reduced and the expectation of decline is strengthened.
Futures Data and Market Expectations
The negative term transaction difference also confirms that the market tends to decline. Returning to the negative of the term transaction difference indicates that the term price is lower than the spot price. This means that investors expect lower prices in the future and indicate that the market tends to decline.
In recent weeks, BNB’s united funding rate is also negative. This shows that many investors take short positions and increase the expectation of decline. Short positions pay long positions, which states that the expectation of price decrease continues.
Although Binance’s dominance increased, BNB’s short -term price movements did not reflect these gains. Market conditions indicate that in the short term, BNB may fall below $ 600 or even to $ 576. However, as in the past, Binance’s increase in domination triggers a new rise, the price of the BNB can reach $ 618 again and lead to a possible $ 638 rally.
