Binance Coin (BNB) Has Been Up 66% During The Bear Market

BNB, the native token of Binance’s BNB Chain, has rebounded 66% from its mid-June low of $183. The change solidifies its status as the third-ranked cryptocurrency (when stablecoin market caps are excluded) and indicates a market value of $50 billion. BNB has surpassed the cryptocurrency market capitalization as a whole after a 73% decline that started in November 2021.

This graph illustrates how this smart contract blockchain network suffered during the recent market crash, as well as how the altcoin market experienced comparable fluctuations. Now that the price of BNB has surpassed $300, let’s examine its position relative to July 2021, when it traded at the same price.

In July 2021, the market value of alternative cryptocurrencies was 21% higher at $740 billion. Bitcoin (BTC) and Ethereum (ETH) had already established themselves as market leaders, but the battle for third place, at least in terms of total value, was far from over.

Despite being the third-largest cryptocurrency, BNB had a market worth of $47 billion, while Cardano (ADA) was valued at $46 billion. Currently, no other cryptocurrency comes close to matching its domination, and the difference has grown to more than $30 billion.

All decentralized apps (DApps), including decentralized banking, games, marketplaces, social networks, and several more use cases, are based on smart contracts. What additional success measures exist besides the number of active users using proxy addresses?

When calculating the BNB’s value, particularly in contrast to smart contract blockchains, a new technique is required due to the token’s increased usefulness on the Binance market. In addition to offering cheaper trading costs, the launchpad for token sales, and special staking possibilities, BNB distinguishes itself from its rivals.

Analysts should exclude almost half of BNB’s $50 billion market capitalization for smart contract platforms when comparing valuations. Due to its third-place ranking (when stablecoins are excluded) in worldwide market capitalization, its leadership in DApps users, third-place position in terms of TVL deposits, and total domination of exchange volumes, the BNB token looks competitively priced.

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