The cryptocurrency market has witnessed a not-so-encouraging start to the quarter (the last of the year). However, some cryptocurrencies have known how to “ride the wave” and appear to be rekindling investors’ bullish hopes. One of them is Binance Coin (BNB). But what is driving Binance Coin above $ 30?
Binance Coin (BNB) seems to revive
Since its launch in 2017, Binance Coin has come a long way. It was originally issued as an ERC-20 token running on the Ethereum network, with limited supply. However, the BNB ERC-20 coins were exchanged with BEP2 BNB in a 1: 1 ratio in April 2019 with the launch of the Binance Chain mainnet, and are now no longer hosted on Ethereum.
Thanks to this they have reached new levels, becoming the sixth largest cryptocurrency by market capitalization. Recently, the jump it took was impressive after dropping to $ 18 and immediately climbing to $ 32.
The next challenge that many are waiting to see if Binance Coin manages to achieve is to break its all-time high of $ 39.57. This occurred on June 22, 2019. The token is currently consolidating its position just above the Fibonacci line 0.786 ($ 30.09), confirming that the next price target for BNB remains its highest price of all time. .
What factors are driving BNB?
We know that the fall in the price of Bitcoin (BTC) generated effects on the price of Binance and that this $ 18 level continued to hold support. However, the massive leap that followed is what we want to analyze.
This bullish momentum was, in part, caused by the announcement that Binance is entering the DeFi space. Also, the CEO of Binance gave some statements encouraging Ethereum-based projects to join the new Binance Smart Chain platform.
The next resistance zone is between $ 31-35 and that is the area that is currently being tested by the fifth cryptocurrency by market capitalization. Thus, the real target for talking about a significant boost is $ 35.
Should the price of the cryptocurrency drop further below $ 30, traders should prepare for a dip that tests even $ 26.
At the time of writing this post, Binance Coin is priced at $ 30.98 (0.71% higher than yesterday), according to CoinMarketCap. However, exactly one month ago it was worth $ 32.69, which represents a drop from which it must recover before it can hope to hit its all-time high again.