The cryptocurrency market throughout 2018 has been in a slow and steady decline right across the board. The vast majority of crypto prices have been falling throughout the year, showing occasional signs of recovery, before sliding further down and disappointing nervous investors.
Since the highs in December where the whole crypto community was in a state of ecstasy, with visions of lambos and space men dancing on the moon hot in their minds, the prices did a drastic 180 and began to fall.
‘Buy the dip’ was echoed far and wide as the prices fell, with many people expecting a speedy recovery and the prices to continue soaring higher.
Many did buy the dip, but unfortunetly for all those who did, the prices have only fell further down. Although the majority of prices are still higher than where they were 12 months ago, on average they’ve fell around 60% since the December/January highs.
Binance Coin – The outsider
On February 6th, prices for the majority of crypto coins hit a bottom. Binance Coin included. The prices began rising again throughout the rest of February, showing false signs of recovery. By the end of February and moving into March, prices began falling again.
Binance Coin however, is the only cryptocurrency to have shown significant signs of recover since the February 6th nose dive. Though it’s still 44% lower than the all time high price of $24.46, it’s shown a 137% recovery since 6th February.
Binance Coin – Best performing cryptocurrency of 2018 so far?
Let’s take a look at some of the below charts for some of the top 10 cryptocurrency coins. (Source – CoinMarketCap)
As you can see from these charts, Binance Coin has out performed Ethereum, NEO, IOTA and Litecoin. But it doesn’t end there, every other chart we checked shows a similar story. All of the markets have failed to make a significant recovery apart from Binance Coin.
Binance Coin seems to be maintaining a healthy uptrend. But why is Binance Coin doing so well?
Why is Binance Coin the best performing crypto of 2018?
There are many reason Binance Coin has stood out from the crowd. It is the native coin of Binance Cryptocurrency exchange, the largest in the world. Binance handles the most cryptocurrency trading volume in the world, meaning more traders trade on Binance than anywhere else. Because holding BNB gives users a 50% reduction in trading fees, there’s a real incentive which is preventing people from selling.
Binance made over $500 million profit in their first 12 months of trading, becoming one of the fastest growing companies of all time! An investment in BNB is also an investment in the Binance Exchange.
Another reason Binance Coin is maintaining it’s uptrend may be due to the Binance Coin Burn. Every quarter, Binance use 20% of their profit to buy back BNB. The amount bought back is then burned and removed from circulating supply every time, increasing the scarcity and therefor increasing the value.
The exchange is expecting a $1 Billion profit for 2018, meaning if the target is achieved, even more BNB will be burned. The better Binance performs as a business, the more demand for BNB there will be and therefor the price will only continue increasing.
The future of crypto – The Decentralized Exchange
Binance CEO Changpeng Zhao recently gave a talk about the future of cryptocurrency. He expects the future of cryptocurrency to slowly move away from the traditional exchange and begin using decentralized exchanges as a way to mitigate the risks of centralized storage issues and imrpove user security.
Binance chain and the decentralized exchange is expected to go live by the end of 2018.
Let us know your thoughts – Will Binance Coin continue performing?
Are there any better performing cryptocurrenices you know of that we’ve missed? Let us know in the comments.