Binance Coin (BNB) has set a new record, reaching an all-time high of $ 148, after rising more than 50%.
According to data from CoinMarketCap, Binance Coin transaction volume has increased by more than 160% in the last 24 hours, reaching just under $ 7.3 billion.
Binance Coin is currently the 7th largest cryptocurrency with a market value of $ 21.7 billion. For a top 20 cryptocurrency, this type of growth is truly remarkable.
Although BNB has corrected its gains at the time of writing, it may retest the $ 150 resistance again for a new upward move. On the contrary, the selling pressure could pull him below $ 120. For now, we can list the main support levels as $ 110, $ 105, $ 100. On the other hand, basic resistance levels are; It comes out as 130 dollars, 137.70 dollars, 148.37 dollars.
The selling pressure has seen BNB drop below $ 140 in the last 4-hour trading session. The bears managed to touch the area of about $ 129 where the bulls wanted to recover. The 4-hour chart’s RSI and MACD show that the bulls remain in control. If buyers manage a recovery, the upward momentum could push prices above $ 130 and see the bulls target the $ 140 and $ 150 levels once again. However, if prices fall below $ 129, the downside may get stronger. The correction could extend to the primary support zone near the $ 120 level and then to $ 110.
Why Did BNB Price Increase?
Binance CEO Changpeng Zhao said in a statement that it appears to be related to Binance Smart Chain, although he does not know the exact reason for the rise. We can say that the use of Binance Smart Chain has also increased significantly recently.
In addition, another noteworthy event with the rise is IEO, which Binance recently realized. It is necessary to hold a certain amount of BNB for a certain period of time in order to participate in IEOs, which allow you to buy crypto money at a low price before listing on exchanges. The last IEO also offers its investors the opportunity to generate a return of over 1000 percent. This may have influenced the rise of BNB.
In addition, Binance users flocked to the stock market after Tesla’s BTC investment announcement. Binance, along with many other exchanges, experienced a few downtime due to the overload of their platform with users. In the case of BNB, the more users trade on Binance, the more used and the higher the price.
Finally, in the 4th quarter of 2020, a large BNB token burn and the increase in demand accompanying the increasing Binance products can be shown as other factors affecting the rise.