Here is Why Bitcoin is Struggling While BNB is on Fire

While selling has slowed over the past 24 hours, Bitcoin and most of the top cryptocurrencies by market cap are still struggling to start a meaningful rally. At the time of writing, the total market cap is sitting at $3.91 trillion, down 0.5%, according to data from CoinGecko. The drop has been triggered by one of the largest crypto liquidation events, in which $1.72 billion worth of longs were forcibly closed on Tuesday.

Meanwhile, the traditional financial instruments continue to perform exceptionally well this week. The S&P 500, for instance, reached a new all-time high on Monday, signaling that investor appetite for equities remained alive. Gold, on the other hand, has just achieved a new all-time high ($3,791) with investors looking to protect themselves as fears of war escalation in the Middle East rise.

While Bitcoin is bleeding, some altcoins, such as BNB, appear immune to market chaos. The native token of the Binance exchange has defied the latest downtrend, rallying 6% in the past seven days to become one of this week’s top performers. So, why is BNB rallying while BTC struggles? Let’s analyze the charts to get answers.