BNB hits fresh highs but signals warn of short-term pullback

BNB, the native token of the Binance ecosystem, surged to fresh highs earlier this week but has pulled back sharply since, with onchain and technical indicators signaling a possible short-term correction. The token reached new all-time highs near $1,370 on Monday amid a market rebound following a sharp weekend liquidation event, but has since fallen about 10 percent in 24 hours and roughly 13 percent from its peak, trading near $1,185 to $1,200 on Wednesday.

Traders and analysts point to a mix of profit-taking, fading buying momentum and derivatives positioning as explanations for the recent weakness. Several momentum and money-flow indicators show signs of weakening: the Chaikin Money Flow has fallen to near-neutral levels, the Relative Strength Index has retreated from overbought readings but still shows bearish divergence with price, and the Moving Average Convergence Divergence on daily charts is poised to form a bearish crossover. Onchain measures also warn of cooling enthusiasm. Net Unrealized Profit and Loss readings for short-term holders have climbed to levels that historically preceded selloffs, while the Spent Output Profit Ratio is hovering near the neutrality...