Binance Coin (BNB) has shown impressive growth in the cryptocurrency market, reaching an all-time high of $859. Analyst Maarten Regterschot explains this success is due to long-term fundamental dynamics rather than speculation.
Summary of BNB Growth
BNB is now the third-largest cryptocurrency by market capitalization, excluding Bitcoin and stablecoins, with a total market cap of $112 billion.
Factors Behind Growth
Regterschot emphasizes that the steady price increase since the beginning of the year has placed BNB just behind Bitcoin. While many altcoins performed poorly throughout 2024, BNB continued to gain steadily. According to the analyst, this rise is not driven by short-term leveraged transactions but by capital flows directly into the spot market.
Long-term Prospects for BNB
The analyst notes that BNB has provided strong returns to investors not only recently but also over the past five years. The asset's Sharpe ratio has reached 2.5, indicating good returns with low risk.
The growth of Binance Coin (BNB) is a result of long-term fundamental changes in the cryptocurrency market, suggesting the asset may continue to develop sustainably in the future.
