Binance Coin price continued its strong bull run this week as it surged to a record high. BNB has soar in the last three consecutive days, invalidating a bearish chart pattern. This growth may continue in the near term as bulls target the crucial resistance at $1,000 amid the ongoing BNB treasury boom.
Binance Coin to Benefit Amid the Ongoing Treasury Boom
One of the main catalysts for the Binance Coin price is that it could see robust demand from companies seeking to set their own BNB treasuries, one of the top trends in the crypto industry this year.
BNC, a company listed in the Nasdaq, has become one of the top BNB accumulators. BNB bought 200,000 coins, now valued at over $171 million. Its purchasing will likely accelerate when it raises $1.75 billion this year.
WindTree Therapeutics plans to spend $700 million in BNB buying, while Liminatus will acquire tokens worth $500 million. All this buying will lead to more demand for the coin.
The ongoing treasury demand is on reason why some top cryptocurrencies like Bitcoin and Ethereum have soared to all-time highs. There are now over 100 Bitcoin treasury companies, while firms like SharpLink and BitMine are accumulating Ethereum.
At the same time, there is a likelihood that the Securities and Exchange Commission (SEC) will approve the VanEck BNB ETF later this year. Besides, BNB is a proof-of-work (PoW) layer-1 network like Ethereum, which already have ETFs.
A BNB ETF would likely have institutional demand because of its strong fundamentals. For example, BNB is highly deflationary, burning tokens worth over $4 billion a year. Its goal is to reduce the number of tokens in circulation to 100 million.
BSC is also a highly liquid token with daily volume worth over $3.5 billion. Liquidity is important because it simplifies how people buy or sell their tokens.
Third-party data shows that BSC is a key player in the decentralized finance (DeFi) and stablecoin industry. Its stablecoin supply has jumped to a record high of $11.5 billion, while its DEX protocols process transactions worth billions o dollars a day.
BNB Price Technical Analysis
The daily timeframe chart shows that the BNB price has the momentum it needs to keep going up, potentially reaching $1,000. Its rally is being supported by the short and long-term moving averages.
Binance Coin price also invalidated the double-top pattern at $860. This pattern often leads to a bearish reversal over time. As such, moving above it meant that bulls have prevailed.
BNB coin price has formed the highly bullish cup-and-handle pattern, a common continuation sign. The distance from top to bottom is about 37%. Therefore, measuring it from the upper side gives it a target of $1,090.
On the flip side, a crash below the support $792 will invalidate the bullish BNB price forecast for 2025.
Frequently Asked Questions (FAQs)
Yes, technicals and fundamentals point to an eventual bullish breakout to $1,000 in the near term. It has formed the highly bullish cup-and-handle pattern on the daily chart.
Its top catalysts are the BNB treasury boom, its token burns, and the ecosystem growth.
The cup-and-handle pattern points to more gains, potentially to $1,090 in the near term.
crispus
Crispus is a seasoned Financial Analyst at CoinGape with over 12 years of experience. He focuses on Bitcoin and other altcoins, covering the intersection of news and analysis. His insights have been featured on renowned platforms such as BanklessTimes, CoinJournal, HypeIndex, SeekingAlpha, Forbes, InvestingCube, Investing.com, and MoneyTransfers.com.
Investment disclaimer: The content reflects the author’s personal views and current market conditions. Please conduct your own research before investing in cryptocurrencies, as neither the author nor the publication is responsible for any financial losses.
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