BNB, the native token of Binance, has managed to maintain its short-term bullish bias despite the ongoing legal battle between Binance and the US Securities and Exchange Commission (SEC). However, experts warn that a significant price decline of up to 30% could still be on the horizon.
Here are the key takeaways from the current situation:
1. Binance-SEC Fiasco: The SEC has accused Binance of operating an unregistered securities exchange and failing to comply with US regulations. The legal battle has caused a lot of uncertainty and volatility in the market, with many investors worried about the future of Binance and its associated tokens.
2. Short-Term Bullish Bias: Despite the ongoing legal battle, BNB has managed to maintain its short-term bullish bias. The token has been trading in a range between $300 and $350, with some analysts predicting that it could reach $400 in the coming weeks.
3. 30% Price Decline: However, experts warn that a 30% price decline could still be on the cards if Binance loses the legal battle against the SEC. This could lead to a significant sell-off of BNB and other associated tokens, as investors lose confidence in the platform and its ability to operate legally in the US.
In summary, while BNB is currently clinging on to its short-term bullish bias, the ongoing legal battle between Binance and the SEC is causing a lot of uncertainty in the market. Investors should be cautious and prepared for a potential 30% price decline if Binance loses the legal battle.