The price of Binance Coin (BNB) has risen by 4% in the past 24 hours to $235, attempting to bounce back from the recent steep losses caused by the SEC’s legal action against its parent company, Binance. Notably, BNB is still down by 15% in the past week and 25% within the last two weeks. The ongoing regulatory battle is affecting the token’s performance; today’s movement could be seen as a dead cat bounce, especially as a hearing on the SEC’s motion to impose a temporary restraining order (TRO) on the assets of Binance.US awaits.
If the SEC’s motion is granted, BAM, the owner of Binance.US, has alerted that it would “effectively end” their business, resulting in grave consequences for Binance and its token BNB. As the SEC’s activities against Binance and Binance.US have just begun, it is difficult to predict the future performance of BNB.
Examining the recent whale movements further supports the possibility of an uphill battle for BNB. One dormant BNB whale sold more than $2 million in the altcoin, while a transfer of around $14.5 million in BNB to Binance was reported by Whale Alert. These events indicate that the market might be expecting the SEC’s motion to be upheld.
While BNB has gone up in value in the past day, some observers remain skeptical that anyone but Binance is supporting the altcoin at this stage. Therefore, it is possible that the token may fall below the $200 mark if the SEC is awarded the TRO. Additionally, further harm to Binance’s business via withdrawals, shutdowns in the US, or loss of market share to rivals may negatively affect BNB’s future performance.
Despite the challenges, Binance’s global reach implies that BNB could recover eventually. However, investors might want to diversify their portfolios with newer altcoins that are not weighed down by legal issues and still have room to grow.
Token presales may provide significant gains, as they typically conclude with the coin being listed on an exchange. Wall Street Memes (WSM), an ERC-20 cryptocurrency linked to the meme stock movement, is one of the most promising new tokens. The presale for WSM has already raised over $6.4 million and has acquired a substantial following of over 229,000 on Twitter.
At its 13th stage of presale, WSM now costs $0.0286, with the price expected to reach $0.03370000 by the 30th and final stage. Investors can participate in the presale by connecting their crypto wallets to the Wall Street Memes website. Subsequently, they need to wait for the eventual exchange listings and potentially enjoy sizeable profits.
Source: Cryptonews
