BNB Price Forecast: BNB climbs back above $700 as Binance registers post-hack net inflows

  • Support from the 200-day EMA helps BNB climb above $700 in the short term.
  • Following last week’s $6.3 billion hack, Binance records more deposits than withdrawals on an hourly basis as the exchange recovers.
  • Lagging momentum indicators leave BNB’s broader technical outlook bearish, notwithstanding its modest recovery.

Above $700 on Tuesday, BNB (BNB) is recovering as buyers seek to restore momentum after last week’s sell-off. Investor reaction to the security breach at Binance, the largest crypto exchange, was the main driver of the fall from Thursday’s highs above $760 to lows of $680.

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Approximately $6.3 billion was affected by the hack, the largest in the crypto industry’s history. Working with blockchain stakeholders, Binance froze roughly $3 billion in assets believed to have been siphoned off by TraderTraitor, a hacker group linked to North Korea.

Binance records hourly inflows as deposits outpace withdrawals

Deposits are exceeding withdrawals at Binance, generating net hourly inflows, co-founder Changpeng Zhao, popularly known as CZ, said on X on Tuesday. His update comes after the exchange resumed withdrawals on Sunday, having contained the security breach.

Initial withdrawals of $4.65 billion against deposits of $1.01 billion produced net outflows of about $3.64 billion, the exchange reported. According to Wednesday’s Proof of Reserves (PoR) snapshot, that amount equates to roughly 2.1% of Binance’s total assets under management of $171 billion.

Continued net hourly inflows could indicate that Binance has come through the disruption caused by the hack and is starting to regain users’ trust. To protect customers, Binance announced that it will meet the losses in full from its internal insurance fund and assets.

Retail appetite for BNB, however, has waned over recent days. Perpetual futures Open Interest (OI) stood at $1.74 million BNB on Tuesday, compared with 1.95 million BNB last Friday. This easing in retail risk appetite could put pressure on the token, constraining its recovery and increasing the likelihood of a prolonged sell-off.

Technical analysis: BNB edges higher while holding key support

At $700, BNB sits just above its 200-day Exponential Moving Average (EMA) near $692, offering immediate trend support. Overhead, the 100-day and 50-day EMAs at $708 and $729, respectively, continue to limit gains. Together with the SuperTrend line at $766, a subdued Relative Strength Index (RSI) around 39 and a negative Moving Average Convergence Divergence (MACD) histogram, this configuration points to a broadly bearish bias.

Daily chart for BNB/USDT

The first upside hurdle is the 100-day EMA around $708, ahead of the 50-day EMA near $729. Beyond those levels, the broken rising trendline at $736 presents a more substantial obstacle, with the SuperTrend zone around $766 then limiting further gains. Near-term support comes from the reclaimed 200-day EMA near $692, while the previous trendline-break area around $686 provides a lower line of defence. A failure to hold that area would likely leave scope for a deeper retreat within the broader upward channel.

(The technical analysis of this story was written with the help of an AI tool. Know more.)

FAQs on Open Interest and funding rates

An increase in Open Interest is linked to greater liquidity and fresh capital entering the market. It is viewed as an improvement in market efficiency, with the prevailing trend continuing. By contrast, falling Open Interest is regarded as evidence of liquidation: investors are exiting the market and aggregate demand for the asset is declining, encouraging bearish sentiment.

By increasing the liquidation risks traders face, funding fees narrow the gap between an asset’s spot price and its futures contract prices. When funding rates remain high and positive, they suggest bullish sentiment among market participants and expectations of a price rise. Persistently negative funding rates, by comparison, point to bearish sentiment: traders anticipate a decline in the cryptocurrency’s price, and a reversal into a bearish trend is likely.