Binance Coin Price Prediction for 2022

Finite Supply

The 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 Predictions

So 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.

Buy BNB with Binance

Q1 and Q2 Price Predictions

The 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 Forecast

The 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.

Fundamental Analysis

Binance stipulates that BNB is a utility coin meant for use in its ecosystem. Users get a discount of up to 25% to transact using BNB, an attractive feature to users. It isn’t designed to overthrow fiat currencies or decentralize the whole economy, as is the case with Bitcoin.

But BNB is not confined to paying fees on the Binance platform. The use case of BNB expanded after the launch of the Binance Smart Chain for Dapps, Defi, and smart contracts, pushing the value higher. In fact, the price started rising in February due to BSC. At the same time, the peaking Ether gas fees proved a headache to developers. BSC proved an ideal alternative.

Currently, BSC is the second-largest Defi platform with 44 projects. Although it has more projects than Bitcoin, it is still miles behind Ethereum- which has over 200 projects. If the Defi market and users of the Binance exchange rise and Ether gas fees remain high, the price of BNB will most likely increase.

The platform growth is hinged on fees from Binance crypto exchanges. Remember, Binance is among the largest and most popular crypto exchanges. It made massive profits from the increased trading volume of the crypto boom. Since trading volume is growing with increasing adoption, some experts argue that Binance coin could outpace Bitcoin. If the bull run resumes, it could be one of the highest gainers in 2022.

BNB is leveraging on payment to expand. It is introducing a Binance visa debit card that changes crypto into fiat currency. The card is linked to the card wallet in the Binance account. In addition, it is rolling out Binance pay, a highly secure and borderless payment feature on the Binance app.

Binance is also actively expanding through acquisition. For instance, it bought Indian based crypto exchange Wazir X and Coin Market Cap – a highly popular site for checking crypto prices and market capitalisations.

Binance has also committed $1 billion in the growth of BSC several months after setting $100 a million aside for the development of Defi projects. The money will go to tech support like hackathons, talent development, liquidity incentive programs to woo new users and incubation programs. The $100 initial funding attracted more than 1 million new Defi users. With the new investment, it is set to boost global adoption and disrupt conventional finance. BSC is enhanced by Proof-Of-Staked Authority (PoSA) security algorithms to avoid rug pulls.

The burning period is an excellent time to buy because the supply will go down, and the price will increase. Binance also makes a good profit from the process. As per CoinTelegraph, Binance made a $750 million profit from burning $600 million with BNB.

Technical Analysis

Read More:Binance Coin Price Prediction for 2022