BNB, the cryptocurrency token behind the Binance exchange saw an incredible surge in the coin’s value in 2021, as it went from under $40 to over $600, even close to $700 at some points. This spike made Binance Coin the third-highest market capitalization of all cryptocurrencies for that year.
But since the commencement of 2022, there has been a continual decay in the coin’s value, and investors are wondering if the surge we saw is over for good. As of today, BNB is sitting at $416, which is encouraging, considering the year’s low was $356.
Because of this, before 2022, Binance would buyback and burn BNB using a sum of the trading fees at the end of every quarter. This would decrease the supply, improve the demand, and therefore typically cause a leap in the price.
Today it is not the lowest price of BNB we’ve seen this year. Some investors may be encouraged by this. Binance has also joined the “new crypto hub” at the Dubai World Trade Center.
There’s no denying that BNB has seen a sharp decline this year. But even bearish market patterns can sometimes break to the upside. It seems there may be a chance for BNB to grow again, but 2022 has not been the year that 2021 was for Binance Coin.