The BNB price has staged a strong recovery in the past few weeks as cryptocurrency prices recover. The token surged to a high of $331, which was the highest level since May 26th. It has jumped by over 76% from its lowest level this year, giving it a market cap of over $53 billion.
Binance DeFi and NFTs doing well
BNB is the native token for the BNB Chain, one of the biggest smart contract platforms in the industry. Formerly known as the Binance Smart Chain, BNB is widely used to build applications in all industries like Decentralized Finance (DeFi), non-fungible tokens (NFT), and the metaverse.
BNB has been used to build some of the best-known projects in the industry. Some of the top applications in Binance are PancakeSwap, MOBOX, Venus, and Alpaca Finance, among others. BNB has also been used to build BUSD, the stablecoin valued at over $17 billion. It is also widely used in Binance’s ecosystem.
BNB price has made a strong recovery in the past few days for several reasons. First, the performance is in line with that of other cryptocurrencies like BTC, ETH, XRP, and Hedera Hashgraph. Cryptocurrency prices tend to have a close correlation.
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Second, BNB has risen because of the ongoing resurgence of its DeFi ecosystem. According to DeFi Llama, it has a total value locked of over $5.9 billion, which is higher than the year-to-date low of $4.7 billion. Most projects have added their TVL by over 20% in the past 30 days.
Third, the performance of its NFT projects has been better than peers. For example, the volume of sales rose from over $537 million in January this year to over $18.8 million in July. Sales have risen to about $4.2 million this month alone.
BNB price prediction
The four-hour chart shows that the BNB price has been in a strong bullish trend in the past few weeks. It rose to a high of $331, which was about 76% above the lowest level this year. The coin has been supported by the 25-day and 50-day moving averages.
It has also moved slightly below the ascending trendline shown in green while the MACD has pointed downwards. Therefore, the coin will likely keep rising as bulls target the next psychological level at $350. A move below the support at $300 will invalidate the bullish view.