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Binance Coin Price Prediction for 2022Michael Kuchar
January 10, 2022, 9:27 pm
The influential Changpeng Zhao created Binance in 2017. Initially, it was based in China before relocating to Caymans Islands due to crypto restrictions in China. Within four years, Binance coin grew to become the third biggest crypto after Bitcoin and Ethereum. However, it has slid into fourth place after Tether took its place in the third position.
Binance Coin (BNB) started as an Ethereum ERC token before migrating to the Binance blockchain. It is now used for transactions on the Binance trading platform, the biggest crypto exchange globally by trading volume.
This article explores the predicted price of the Binance coin for this year – 2022. But before that, we shall explain BNB’s price performance and uses.
Price History AnalysisSo, where is BNB coming from? First, let’s explore past performance before delving into future price expectations.
Binance coin was launched through an Initial Coin Offering (ICO). A half (100 million BNB) of the total supply was distributed to the founding team and angel investors. The other half was offered to investors at 15 cents raising $15 million. The capital is used for marketing branding and emergency reserve.
The primary use of BNB coins is to pay for transaction fees on the Binance platform. Additionally, BNB is a utility token on the Binance Smart Chain (BSC), meaning you can use it to send tokens, generate passive income and collateral for crypto loans. Other uses include booking and paying for hotels at Travala.com, shopping, gaming, travel, and a fund source for the Binance debit card.
Finite SupplyThe blockchain platform has a deflationary burning strategy to ensure a finite coin supply. To be precise, it uses 20% of the profits to buy back and burn BNB coins. The aim is to burn 100 million Binance coins reducing its supply and, in turn, boosting the coin’s demand.
BNB is currently trading at $435.44 with a total circulating supply of 166,801,148.00 BNB. As mentioned, it is the fourth-largest cryptocurrency with a market cap of $72,652,853,334.
For a long time, the Binance coin price hovered around $20. In fact, it fell to $10 in march 2020 due to the Covid pandemic. But the price rebounded strongly in early 2021, climbing from $40 in January to $690 in May. The price dipped to around $215 the same month. It, however, recovered again to reach $660 in November. Like most cryptocurrencies, it has shed some value and is now trading at $430.
2022 BNB Price PredictionsSo how will BNB perform for the rest of 2022? For this part, we will use CryptoPredictions’ BNB predictions. These forecasts are calculated with the use of Binance coin historical data while using mathematical formulas that help determine the likely future trend of the cryptocurrency. Please note that at the time of your reading, the predictions might differ as the site updates them every 5 minutes reflecting in their calculations what is happening in the market.
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Q1 and Q2 Price PredictionsThe CryptoPredictions’ site expects BNB price to range between $411 and $614 in the first quarter of 2022. The predicted average price is $488.331 in February and $491.818 in March.
As per the site predictions, BNB could open the second quarter trading at $421.114. The forecasted average price is $495.428 in April and $498.673 in May. In June, the average price will eventually hit the $500 mark to trade at $501.757. The site’s algorithm shows BNB could reach a high of $627.197 in June.
Q3 and Q4 Price ForecastThe site predicts Binance coin price to range from $428.802 to $636.512 between July and September. The predicted average price for July is $504.473. The average price is expected to grow to $506.992 in August and $509.21.
The platform further predicts BNB to trade between a minimum of $434.402 and a maximum of $511.061 in October. The price could increase to a high of $640.82 in November. In December, the price is expected to average $513.886, trading between $436.803 and $642.357.