Crypto Analyst Anticipates Monumental 99% Plummet in BNB Price to Just $2
BNB, the prominent cryptocurrency of the Binance Exchange, has achieved exceptional growth and currently holds a market cap exceeding $39 billion, solidifying its spot as the fourth-largest asset in the market. Nonetheless, despite its fame, one crypto analyst envisions an immense price crash that could have significant repercussions for the entire crypto market.
In a recent analysis published on the TradingView platform, Alan Santana, a well-known crypto analyst, highlighted that BNB has seemingly entered a long-term distribution phase. Santana pinpointed the start of this phase after the altcoin reached its record high price of $670 in 2021. He contends that this distribution phase, coupled with unfavorable news about the exchange itself, could potentially catapult the BNB price to its 2018 lows or even as low as 99% below its current value.
The analyst emphasizes that BNB is still trading below its 200-day Moving Average (MA), a decidedly bearish sign. However, Santana cautions that the exact endpoint of this potential crash is difficult to predict, stating, “It is impossible to say exactly if the final target will be $11, $6, $2 or $0.10, it is very hard to predict an exact target but, the chart is pointing lower.”
Santana also mentions other factors that could contribute to a 99% crash in the BNB price. He suggests that following the recent management change at Binance, a restructuring within the company may be on the horizon. Highlighting the need for strategic timing, Santana believes that the exchange will wait for a market correction, potentially following the SEC’s announcement in late December or early January 2024, before initiating the restructuring. This move would freeze billions of customer funds, allowing institutional investors and Spot ETFs to purchase Bitcoin at a low price.
Despite the gloomy prediction and the potential implications for the crypto market, the analyst remains optimistic in the long run, stating, “Life will continue to evolve, nature will pick who leaves and who stays, and time will decide who was right and who is wrong.”
Please note that the content expressed in this article is solely for educational purposes and does not represent the viewpoints of NewsBTC. It is always wise to conduct thorough research before making any investment decisions and to remember that investing carries inherent risks.