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Layer 2 Solution Boba Network Integrates With BNB Chain, Will This Trigger Price Action?

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VOC, Voice of Crypto, BNB

Key Insights

  • Like Ethereum, however, the BNB is now home to a layer-2 scaling solution after integrating with the Boba Network.
  • Binance Smart Chain is home to almost 500 Defi protocols, which hold a combined Total Value Locked (TVL) of about $6 billion.
  • Oversold RSI conditions point to a possible reversal in the price of an asset, leading to doubts about BNB’s ability to rise further and break the $350 resistance.

Despite being the second largest Defi blockchain in the world, the Binance Smart Chain (BNB) had no layer-2 (L2) solutions before November this year.

Like Ethereum, however, the Binance Smart Chain is now home to a layer-2 scaling solution after integrating with the Boba Network.

 Boba Network Integrates With BNB Chain

The new development was unveiled by Boba via a tweet from its Twitter handle, detailing the cooperation between the Boba network and the Binance Smart-Chain.

This new integration will enable the L2 and L1 networks to integrate with various protocols in the Decentralized finance (Defi) space, such as SushiSwap, which is scheduled to debut on the BOBA BNB L2.

So far, Boba is the first Layer 2 scaling solution on the Binance Smart chain. The integration between the two will allow for the protocols on the chain to experience cheaper transactions, along with faster network speeds.

At the time of writing, the Binance Smart Chain is home to almost 500 Defi protocols, which hold a combined Total Value Locked (TVL) of about $6 billion.

This new integration intends to make the BNB chain a strong rival to Ethereum, the largest Defi chain, with a total value locked (TVL) of more than $31 billion.

BNB’s Price Outlook: Can the Crypto Hit $350?

Throughout the year’s first half, the outlook on BNB remained rangebound. However, after a breakdown of the $350 zone in September and the price rejection that followed, BNB has entered bearish waters and has failed to break above this level.

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Chart showing price action on BNB, VOC, Voice of crypto

Chart showing price action on BNB | Source: Tradingview

This price point has remained unbreached for six months now. However, with the recent 21.08% rise, BNB continues to inch closer to it.

Considering this level has remained unbroken for about five months now if BNB manages to break above this zone, the cryptocurrency may see investors begin to buy, pushing the price upwards to the next resistance, around $455.

However, if the bulls cannot push the price of BNB upwards for a breakout from this $350 resistance, the cryptocurrency may decline further downwards to the $299 zone.

Price action on BNB, VOC, Voice of crypto

Price action on BNB | Source: Tradingview

Following last week’s bullishness, BNB rose along with the rest of the crypto market and now shows oversold conditions on its daily RSI. Oversold RSI conditions point to a possible reversal in the price of an asset, leading to doubts about BNB’s ability to rise further and break the $350 resistance.

 

Disclaimer: Voice of crypto aims to deliver accurate and up-to-date information, but it will not be responsible for any missing facts or inaccurate information. Cryptocurrencies are highly volatile financial assets, so research and make your own financial decisions.

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Adekunle Joshua is a cryptocurrency writer. He has a deep understanding of the technology and how it can be used to improve the world. James is a strong advocate for using cryptocurrency to make the world a better place. He wants to help people understand the technology and use it to improve their lives.

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