What is Binance Coin? Native coin created by Binance

  • What is Binance Coin? Native coin created by Binance 

    The popularity of Binance Coin is on the rise, currently, the crypto-based exchange token is ranked fifth on the Coinmarketcap rating site.

    Below the Ripple, the Binance coin is currently worth $ 28.24 with a market capitalization of $ 4,077,818,013 at press time.

    Binance Coin (BNB), is token crypto created by Binance. Binance itself is a very popular exchange among crypto traders.

    BNB faced fantastic price increases in January and February 2019 the value soared by 75 percent.

    Currently, BNB can occupy the top ten rank, which indicates a high increase in market capitalization.

    What is Binance Coin (BNB)

    Binance exchange launched Binance Coin in August 2017. Binance created BNB tokens which can be used within the Binance exchange environment but also as a means of payment on platforms that have adopted the BNB token.

    This native coin from Binance can be used to pay trading fees on the Binance platform, participate in token sales hosted on the Binance Launchpad; pay for service vendors who have collaborated with adopting BNB tokens as an accepted payment method. Binance coin is also powered by DEX which stands for Binance Decentralized Exchange.

    At the time of launching BNB, it was through an initial coin offering or ICO which was held on June 26th to July 3rd, 2017 with a value of 1 ETH equal to 2,700 BNB or 1 BTC equal to 20,000 BNB.

    BNB uses the Ethereum blockchain as ERC-20 and has a total supply of 200 million coins, of which 100 coins are offered via ICO.

    Having BNB within the Binance exchange environment can give you the advantage of discounting trading fees compared to paying conventional trading fees.

    Thus using BNB will be more profitable if you trade through the Binance exchange platform, especially if you make a lot more transactions.

    Why use Binance Coin

    The increase in BNB is inseparable from the Binance exchange which is the number one crypto exchange in the world in terms of transaction volume and number of active users.

    This exchange was overwhelmed by accepting new members during the Bitcoin bull run in December 2017 and January 2018, so it was forced to close registration.

    The Binance exchange does have a strong reputation in the crypto community as a supporter of the spirit of decentralization and the ideology of tokenization. Binance CEO Changpeng Zhao (CZ) has repeatedly expressed his pro-crypto stance in interviews.

    Binance also builds and manages Binance DEX, and launched an initial version of the DEX in February.

    Binance also bought Trust Wallet, a decentralized wallet that can store Ethereum and ERC-20 tokens.

    This wallet is used on Binance DEX as the default wallet. With a large number of Binance customers, Binance DEX is very attractive to customers and encourages the use of BNB which is expected to be used in the DEX.

    In exchanges, BNB coin is paired with cryptos that have large market caps, such as Bitcoin, Ethereum, and Cardano. This means that traders can buy BNB using these cryptos easily.

    Binance will burn 20 percent of the profit from trading fees every four months. The ultimate goal is to burn the 100 million BNB tokens that were sold during the initial coin offering (ICO)

    The burning of coins in the blockchain economy can help keep inflation down, as the amount of BNB supply is reduced in the market.

    If supply decreases and demand is stable or rising against BNB, then the price will likely increase.

    Binance Chain, Blockchain Platform From Binance

    Binance Chain is a blockchain project initiated by Binance which then engages the Binance community.

    They are working together to create a blockchain that will act as an alternative marketplace for issuing, using, and exchanging digital assets in a decentralized manner.

    Binance moved BNB to the Binance Chain from the Ethereum blockchain, making it the native coin for the blockchain to use for blockchain fees and other transactions.

    The move aims to build a foundation for issuing new cryptocurrencies and ICO tokens.

    With that in mind, Binance Chain becomes a very powerful platform to help new projects, ICOs, and tokens get up and running. One of the first uses of the Binance Chain was Binance DEX.

    A new decentralized exchange that brings the best features of the Binance exchange in a decentralized manner and offers the security and benefits of a DEX.

    Binance DEX allows you to send and receive Binance Coin (BNB) between different wallet addresses.

    You can also issue new tokens on the Binance chain which you can then send, receive, burn, mint, freeze, or unfreeze.

    Also, all participants in the Binance Chain can propose the trading pair they want, if support is sufficient, they can start trading with that trading pair.

    According to its founder, with the Binance Chain which has a block time of one second, transactions on Binance DEX can occur in a volume of “two thousand” transactions per second.

    In comparison, on the Bitcoin blockchain, it is estimated that the block time is 10 minutes and 20 seconds on the Ethereum blockchain.

    Binance coin price prediction

    Being one of the top ten cryptocurrencies, the Binance coin is considered a profitable digital asset for the future. Currently, the Binance coin is ranked sixth on rating site Coinmarketcap.

    From day to day, it always competes with other tokens including Bitcoin cash, which has now successfully shifted the position of Binance coin after previously being ranked below BNB.

    In the long term, it is predicted that the Binance coin will increase in value. Several leading forecasting sites provide their analysis with long-term bullish tendencies.

    Here are some future Binance coin price predictions quoted from several well-known forecasting sites.

    Wallet investor BNB’s price prediction

    Currently, the value of BNB is $ 27.34, and Wallet Investor predicts that the value of BNB will increase after one year to $ 29,825, and the prediction for the next five years is $ 34,657.

    Based on the assumption of an increase in value by this prediction, if the investor currently invests $ 100, it is possible to get a gain of 26.44% over a five-year period that would be $ 126.44.

    Short term prediction

    Short-term price predictions based on the investor's wallet analysis of price movements ranging from $ 24 to $ 30 which are the limits of support and resistance.

    By short-term swings that allow traders to get a low price to buy and/or choose to sell at a high price.

    Source wallet investor.

    When a trader chooses a short-term investment, he will look for detailed price information by looking at the M15 time frame or lower. 

    Then it can find opportunities for the up and downswings of the changes. In a day sometimes up and downswings can occur several times so that it provides a good opportunity.

    Long term prediction

    Long-term predictions can be useful for long-term investors investing for several years. With this prediction, investors will be able to estimate how much potential gain will be obtained in the investment period.

    Binance coin for the future is expected to gain after five years of 26.44%. This can sometimes be an initial consideration before investing.

    Source image wallet investor

    Predictions in 2021 BNB are expected to reach $ 29, and this is quite promising for long term investment.

    Gov capital BNB’s price prediction

    Gov Capital uses a custom algorithm to predict possible future prices for Binance coin. And the result is it is predicted that the price of BNB can increase by more than 65,957% in 2021 October 07 at $53.015.

    Short term prediction

    Gov Capital's short-term prediction shows the highest possible price is $ 34, and the lowest possible price is $ 21.

    Referring to this analysis allows investors to determine which price is the best with a high potential gain.

    Source Gov capital.

    For two weeks, Binance Coin predictions provide an overview of possible price wave movements in the range of swing highs and swing lows as support and resistance limits. Taking a safe position is possible at $ 21, but currently, the BNB price is $ 27, it takes extra patience that the price may not back to the $ 21 level.

    Long term prediction

    Long-term analysis by Gov Capital suggests there will be a huge increase in Binance this coin which could reach the $ 48 level, with a predicted maximum price of up to $ 53.

    the advantage of long term investing is that we don't have to always face the platform and are more relaxed so that we can also focus on other jobs.

    Source Gov capital.

    The above prediction is only a possibility based on technical analysis by developing algorithms to determine future price predictions, so it does not reflect what will happen.

    Such analysis only helps investors but does not constitute investment advice, and all proceeds are the responsibility of the investor.

    Digitalcoin BNB’s price prediction

    Digitalcoin is also a well-known forecasting site that predicts various crypto-financial assets.

    You can also find BNB predictions based on Digitalcoin analysis.

    The forecast results show that the lowest possible price for the future is $ 30 and the highest is $ 134.

    The list of BNB predictions by Digitalcoin is as follows, the forecast for 2020 to reach $ 56.7, 2021 to reach $ 63.15, 2022 to reach $ 55.95, 2023 to reach $ 46.48. 2024 reaches $ 77.67, 2025 reaches $ 59.67, and 2026 reaches $59.11.

    Source Gov capital.

    Broadly speaking, Digitalcoin prediction results for the short term is a bullish trend, and so is the long term prediction with the possibility of an increase in the price of BNB.

    For a long-term prediction, BNB will have a high of $ 134 with a low of $ 23.45.

    Here is a complete prediction by Digitalcoin. 

    Source Digitalcoin

    Price prediction is technical data processing by taking past data variables to predict future prices which are not actual conditions. It possibly has a different actual price on time.

    BNB price analysis 07 October 2020

    BNB is in a bearish trend in the short term on the 1H timeframe, this is a continuation of the previous day's trend, BNB's three consecutive days of decline.

    The price moves in the range between the middle band and upper band of the Bollinger band indicator, the middle band becomes the first support level with a note that if there is a retest, this may be strong support, but if it is broken the price may continue into the lower band zone.

    The volatility that occurs is quite high, indicated by the distance between the upper and lower bands.

    Meanwhile MACD line and MACD line signal indicate a major bullish trend, although currently, it is bearish. This can be an indication that the future trend may be bullish.

    While the RSI shows the level of 53 which means the uptrend is ongoing for the long term.

    The RSI chart on the 1H time frame shows the 39 levels which have not yet entered the oversold territory.

    So the conclusion is that the short term trend is currently bearish and the long term trend is bullish.

    Binance Coin News Update

    Citing from Ambcrypto, Binance Uganda delisted the original BNB token from the list. Previously Binance Exchanger Uganda already delisted ETH and LTC from their platform.

    The removal of BNB from the list because after periodically reviewing the trading volume and liquidity of all listed cryptocurrencies, BNB is one of the tokens that does not meet the standard requirements.

    The company announced that it will remove the BNB/UGX pair from the list and deposit using BNB is closed on 10 October 2020. And BNB withdrawals are available only until 6 October 2020.

    Further news has it that Binance is launching a suite of Auto Market Builders called Binance Liquid Swap which is a step into the Defi 

    Bottom line

    Binance Coin is the native token of parent company Binance which is the largest exchange thus giving a positive impression of the future value of BNB.

    One of the most important functions of the Binance exchange is to reduce trading fees, as BNB users will get a discount according to certain rules.

    Is BNB investment good in the long term? Several forecasting sites generally predict future BNB prices will increase according to increased demand. Wallet investor, Gov Capital predicts future BNB prices will increase.