The cryptocurrency market is facing another significant correction. The global crypto market cap has fallen 4.4% to $3.67 trillion. Bitcoin (BTC) is inching closer to falling below $102,000. Binance’s BNB token is also following the downtrend. BNB is down by 2.2% in the daily charts, 3.7% in the weekly charts, 2.2% in the 14-day charts, and 1.4% over the previous month. Despite the dip, BNB is up by 120.2% since January 2024.
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The Cryptocurrency Market Continues Its Slump
The latest correction comes after Donald Trump’s crypto ventures were called into question by Democrat Representative Gerald Connolly. Connolly asked the US House Committee on Oversight and Government Reform’s Republican chair, James Comer, to look into whether Trump’s crypto ventures are getting in the way of his presidential duties. BNB and other cryptocurrencies may have taken a hit due to this development.
Binance’s BNB may be struggling from low fund inflows due to the Fed’s hawkish monetary policy for 2025. The Fed has announced only two interest rate cuts this year instead of three. The lack of interest rate cuts could lead to market stagnation.
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BNB Predicted To Hit A New All-Time High
Binance’s BNB coin hit an all-time high of $788.84 on Dec. 4, 2024. The asset has fallen by 13.1% since its peak.
According to CoinCodex, BNB will continue to rally over the coming months. The platform anticipates the asset to overtake its previous peak in early February. CoinCodex further anticipates BNB to breach the $1000 mark and hit a new all-time high of $1070.80 on April 21, 2025. Hitting $1070.80 from current price levels will translate to a rally of about 54.4%.
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There is also a possibility that BNB will continue to consolidate for an extended period. If the Fed does not introduce an interest rate cut soon, we may be in for a lackluster market.
