Binance Burns $444 Million in BNB Tokens
Key points to remember
- BNB Chain burned nearly 2 million BNB tokens in its 20th BNB autoburn event.
- Over $444 million worth of tokens were destroyed, bringing the total circulating supply to 161,337,261.09 BNB.
- Still, BNB appears to have resumed its downtrend and may be targeting $175.
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BNB Chain has completed its latest quarterly self-burning token event, removing approximately $444 million worth of BNB from circulation.
Binance burns $444 million worth of BNB
BNB Chain has completed its latest autoburn event, significantly reducing the circulating supply of BNB.
The Binance Blockchain burned 1,959,595.29 BNB tokens worth over $444 million on Wednesday. The total amount burned represents 1.2% of the circulating supply. Binance has burned over 38,683,447 BNB to date, making significant progress toward its long-term goal of reducing total BNB supply by 50%.
Today’s burn event is BNB Chain’s 20th since the program launched in late 2017. It is also the third quarterly autoburn, which means the number of tokens burned was calculated based on the price of BNB and the number of blocks produced by the BNB chain during the last quarter. BNB Chain also continues to burn part of BNB Chain’s gas fees in real time.
Despite the latest developments, BNB has lost 4.5% of its market value in the past few hours. The token appears to have broken out of an ascending triangle that has been developing on its four-hour chart, and the bearish continuation pattern suggests that BNB is bound for further losses.
The height of the Y-axis of the triangle added downwards from the breakout point anticipates a near 24% correction for BNB. Further selling pressure could validate the bearish formation, potentially pushing its price to the $175 level.
BNB would likely need to recover $235 as support to have a chance of invalidating the bearish outlook. If this is successful, the next critical area of resistance to pay attention to would be around $247. The impression of a four-hour candle above this level could signal an upside break towards $300.
Disclosure: At the time of writing this article, the author of this article owned BTC and ETH.
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