The cryptocurrency market is struggling to gain momentum. Most assets are trading in the red zone. The global market cap has fallen 2.9% in the last 24 hours to $3.41 trillion. Binance’s BNB token follows the market downtrend, dipping 2% in the daily chats, 4.8% in the weekly charts, 2.5% in the 14-day charts, and 6.5% over the previous month. Despite the dip, BNB’s price is up 127.6% since January 2024.

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Why Is The Cryptocurrency Market Down?

Binance’s BNB follows the larger market correction. The latest dip was likely due to better-than-expected jobs data in the US. The development has cast a shadow on the expectation for an early interest rate cut this year.

The market faced another correction in December 2024, following the rise in inflation figures in the US to 2.7%. The Federal Reserve announced only two interest rate cuts in 2025 instead of three.

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BNB To Hit A New All-Time High?

The cryptocurrency market is expected to regain momentum after Donald Trump’s inauguration and oath on Jan. 20, 2025. Trump’s pro-crypto stance may trigger another market-wide rally. BNB and other cryptocurrencies could hit new highs later this month.

According to CoinCodex, Binance’s BNB will rise to a new all-time high of $824.32 on Jan. 25, 2025. Hitting $824.32 from current price levels will entail a rally of about 21.2%.

There is also a possibility that BNB will consolidate around current levels and not rally. Crypto investments have significantly declined over the last few weeks. Market participants may be weary about putting their money in risky assets, given that the Fed may not introduce an interest rate cut anytime soon.

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How BNB performs over the next few weeks is yet to be seen.