Binance Coin Surges 1.78% to $672 Amid Supply Reduction

On July 10, Binance Coin (BNB) was trading at $672, marking a 1.78% increase over the past 24 hours and reaching its highest level in a month. The price of BNB was observed to be within a narrow channel on the hourly chart, fluctuating between the support level of $668.45 and the resistance level of $673.21. This price movement indicates a period of consolidation for BNB, as it has remained resilient above the $660 level despite recent intraday volatility and fading momentum.

The recent quarterly burn event by Binance, which involved the destruction of 1.59 million BNB tokens, has reduced the total supply to 139.28 million. This reduction in supply is expected to have a positive impact on the price of BNB, as it decreases the overall availability of the token in the market. According to analysts' forecasts, the price of BNB is targeting the resistance level of $675.2, with a bullish trend expected to continue in the coming months. The token's value is supported by various factors, including increased activity on platforms like PancakeSwap and the Maxwell upgrade.

On the longer time frame, the rate of the native exchange coin has bounced off the resistance of $674. If the daily bar closes far from that mark and with a long wick, there is a chance of witnessing a correction to the $665 zone. From the midterm point of view, one should focus on the weekly candle closure in terms of the $673.43 level. If it happens around it or above, the accumulated energy might be enough for an ongoing upward move to the $700 area.

Looking ahead, the price of BNB is expected to remain above the $660 level, with bulls aiming for the $709 mark. The token's price broke above the upper trendline of a falling wedge pattern on June 28, leading to a 3% increase in the following 11 days. This price movement suggests that BNB is poised for further gains, as it continues to benefit from partnerships and other positive developments in the cryptocurrency market.