Binance Coin (BNB) is the native token of one of the largest crypto exchanges, Binance.com and it recently reached a new all-time high of $415.94 on Wednesday before adjusting lower on higher profit-taking sentiment.
Despite the small dip, BNB kept its bullish trend, closing at a new high day after day. For example, on April 5, the Binance token touched $381. A day after, it surpassed the $400 mark, reaching a new high on 8th April of $415 per token. That means BNB rallied up by 70% in a single month and by 964.63% on a year-to-date timeframe.
Binance Coin’s growth spurt began on March 25 of the current year, after showing steady growth till mid-February before taking a dip just after ‘Bloody Monday.’
“According to Binance, as of April 5, the number of active addresses in a single day on the BSC reached 370,000, which is 1.1 times more than Ethereum. The 24-hour on-chain transaction volume exceeds 3.9 million, which is more than 300% of Ethereum.” Colin Wu, the Beijing-based journalist, tweeted.
The world’s largest crypto exchange by volume launched Binance Coin in July 2017. It can also be used to trade and pay fees on the crypto exchange. When it was first launched, it worked on Ethereum blockchain and later migrated to its in-house blockchain, the Binance Chain.
What Is The Reason Behind These Massive Gains?
Binance Coin quickly outperformed major crypto assets and became the third-most valuable cryptocurrency by market cap in less than 3 years after its debut. It is considered a safe crypto coin and the trading volume of BNB witnessed an overall rush in the last three months, further toward its growth as a popular token among retail traders.
BNB’s trading volume increased so much in 2021 and managed to pass the billion-dollar milestone for the first time. Behind Binance’s massive popularity increase are the incentives users are paid for using Binance Token. They can also stake the Token in order to earn rewards and participate in new token listings through Binance Launchpool.
Binance is constantly launching new partnerships and listings, giving BNB a considerable boost each time. The new projects often require users to trade them using BNB. Recently, Binance showed increased efforts in the DeFi (Decentralized Finance) sector. The world’s largest crypto exchange has now its own decentralized exchange, the Binance DEX.
Another strong factor of BNB’s surge in value is also the constantly increasing number of services and applications that Binance has launched, such as Binance Pay and Binance Card which allows users to pay merchants or other individuals directly using their crypto holdings from their Binance wallets.
The future looks bright for BNB for now and has shown constant progress and growth since it was launched in 2017.