Binance Coin [BNB] Jumps Ahead of Tether [USDT] as It Inches Toward $15 Mark

Well the fabulous move on Binance Coin continuous to move forward as the coin has taken over Tether now to grab the 7th place on the list of coins ranked by their market caps. In very early morning Asian trades, the coin inched towards the USD 15 mark with a gain of over 6%

Is Binance Coin the “New Bitcoin”? Well that’s what Justin Sun says

Binance coin has been the talk of the town for over a month now as the coin has been one of the top performers of 2019. Starting the year at a low of USD 5.90 in January the coin has been on a relentless rally. And now a couple of months later, the coin now sits at USD 14.55 with a surge of nearly 150 % which by far has out performed the market.

In terms of ranking the coin did not feature even in the top 30 being ranked at 31 of the list of coins arranged by largest market cap. But thanks to the rally, the coin has moved to a all time high position of 7th. This rally has been appreciated by many in the industry including Justin Sun of Tron calling BNB coin the new Bitcoin

Mati Greenspan also tweeted about BNB’s rally and also mentioned that how its become a darling of traders over last two day with Mati himself holding positions on the coin.

BNB doing things right fundamentally

Although the rising volumes across exchanges are the larger contributor to this rally, one thing that is proving to be a catalyst to this BNB’s rise is the coin is doing everything right fundamentally. The launch of Binance DEX the company’s new decentralized exchange that utilizes BNB as a base pair, has got everyone’s interest into the exchanges native coin.

According to CZ, more than the Binance DEX, it’s the coins increasing use cases, probably larger than any other coin, is actively pushing for the adoption of BNB in the real world, with an increasing number of platforms announcing support for the coin in recent months. A tweet in November had highlighted the coins rise amongst platforms when the exchange had launched a #USEBNB challenge

CZ recently conducted AMA session which also reassured that the coin was doing everything possible to reach the top and Binance was also providing every ingredient of its growth. The full video could be found here

Rally is Good But BNB, not a security token

While all looks great for the coin, a few analysts on the street caution the BNB is a utility token and not a security token and hence all the profits that Binance makes from BNB use case will stay with Binance and not distributed to its holders as dividends. CZ too had tweeted and clarified it

Mati Greenspan, while making profits on trades with BNB, cautioned people about the same

As the crypto traders are speculating that volumes in BNB will continue to grow and that Binance will maintain a significant share of those volumes, the coin is seeing this rally. But the caution of BNB being Utility token can halt the rally once the volume starts dropping.

How long do you think the BNB rally will continue? Do let us know your views in the comments.

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