Binance, with its support, has seen BNB Coin experience massive growth over the years and recently approach the all-time high (ATH) region. Moreover, it is currently witnessing an increase of nearly 10%, trading above $550. Alongside the positive shift in general market sentiment, there are three significant reasons for the rise in BNB Coin’s price. Will BNB Coin be able to reach its highest level of all time?
The Future of BNB Coin
Since November 16, 2021, the price has reached its highest level at $645. This indicates the nullification of losses in bear markets and sets new peaks for the bull market to target. There are three main reasons for this rise and the potential for a new rally.
Volume Increase
With the resignation of Binance CEO CZ, the dark clouds over the exchange have cleared. Despite a hefty bill of $4.3 billion, Binance’s steps have presented investors with an early bull market on a golden platter. Data from CCData shows that Binance’s market share has been on the rise for months.
The cumulative volume across all crypto exchanges is $178 billion, with Binance accounting for $41.7 billion of it. The BNB Coin price is increasing as the most popular cryptocurrency exchange begins to regain strength.
Network Activity
The second major reason for the rise is the significant increase in BNB Smart Chain (BSC) activity. Popular crypto analyst Kyledoops wrote that the price has increased proportionally with the rise in the total value locked on the network. The TVL reaching $6 billion is a level not seen since mid-2022.
The TVL increase in 2024 is approximately 54%. According to DappRadar’s data, BNB Chain has processed 7.07 million transactions in the last 30 days, compared to Ethereum‘s 1.2 million transactions. Thus, the network’s value and investor activities on it are strengthening.
Competition
We have seen days when Solana’s market value surpassed BNB’s. However, BNB Coin whales have not stayed out of the game, ensuring the price remains competitive. A K33 Research report indicates that the record region is being targeted.
“BSC was a significant space for the altcoin frenzy during the previous bull run and seems to be warming up for another run.””
On March 14th, crypto analyst Batman wrote that the ongoing BNB surge could trigger significant movement for altcoins as well. Closures above $550 (as is currently the case) could bring the $600 and $690 targets into play.
