Journalist
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- BNB is now below Solana in terms of market capitalization.
- BNB has witnessed a surge in demand over the past four days.
In another stunning region, Solana [SOL] has rallied past Binance Coin [BNB] AMBCrypto has discovered that it will become the fourth largest cryptocurrency by market capitalization.
This comes just a day after SOL surpassed XRP to claim the fifth spot. At the time of writing, SOL’s market capitalization was $42 billion. BNB lagged behind with a market capitalization of $41 billion.
BNB holds its own
Although the coin has fallen in the crypto rankings by market capitalization, BNB has seen a 6% price growth in the last 24 hours. Trading volume has increased by more than 25% in the same period.
A look at the coin’s price movements on a 24-hour chart revealed that an uptrend began on December 18. Since then it has grown by 16%.
At the time of writing, the coin was exchanging hands at $274, marking the highest price level since June, data shows CoinMarketCap showed.
The price increase since December 18 is due to a rebound in BNB demand, which key momentum indicators have accurately captured.
The currency’s Relative Strength Index (RSI) and Money Flow Index (MFI) were at overbought levels of 69.57 from 71.49 at the time of writing.
At these values, these indicators showed that BNB accumulation has significantly exceeded the coin sell-off among daily traders.
The accumulation distribution line (ADL) has since risen 1%, confirming the strong increase in BNB demand over the past four days.
The ADL measures the underlying supply and demand of an asset, and does this by determining whether traders are actually buying or selling the asset.
During periods of strong up or down trend, the ADL moves in the same direction as the price, confirming the current trend.
At 657.97 million at the time of writing, BNB’s ADL has risen in price since the price hike began on December 18.
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Furthermore, the coin’s Chaikin Money Flow (CMF) has seen a significant jump since December 12. With 0.33 at the time of writing, he was spotted at the highest level since October 2021.
Source: BNB/USDT on TradingView
The rise in the BNB’s CMF in recent days shows that coin buyers are actively entering the market with increasing liquidity, hence the price growth.
