- Binance Coin (BNB) surged 15% in 24 hours, surpassing Solana, driven by Binance Smart Chain’s push to become a meme coin hub and the successful IDO of MyShell.
- Analysts suggest that if BNB holds above $750 or breaks $800, it could signal a prolonged bullish trend, marking the start of a potential “BNB Season.”
Binance Coin (BNB) has made headlines with an impressive 15% price rally in the past 24 hours, overtaking Solana (SOL) to secure its position as the fifth-largest cryptocurrency by market capitalization. With BNB trading above $700 and daily trading volumes surging by 84% to $3.79 billion, investors are keen to understand what’s fueling this bullish momentum.
The Role of Binance Smart Chain (BSC) and Meme Coins
One of the key factors behind BNB’s surge is the Binance Smart Chain’s (BSC) strategic move to establish itself as the primary hub for meme coins. Historically, meme coins have played a significant role in driving engagement and liquidity across blockchain ecosystems, and Binance appears to be capitalizing on this trend.
A major contributor to this rally is the Initial DEX Offering (IDO) of MyShell, an AI-powered meme token launched on the Binance Chain. This IDO is set to distribute 40,000,000 Shell tokens, accounting for 4% of the total supply. The enthusiasm surrounding MyShell has spurred a broader rally in meme tokens across the BNB Chain, including CAKE, BAKE, TST, CAT, and THE, which all saw notable price increases.
Adding to the momentum, on-chain data indicates that a staggering $173 million has been bridged from Solana and Ethereum to Binance Smart Chain (BSC) in just 24 hours. This influx of liquidity suggests growing investor confidence in BSC’s expansion strategy.
Is This the Start of a New BNB Season?
Crypto analysts believe that BNB’s latest price action could indicate the beginning of a sustained bullish cycle, often referred to as “BNB Season.” Analyst Korousk AK has pointed out that BNB is currently trading above its 2021 all-time high, having surged approximately 45% recently. He suggests that if BNB can maintain a price level above $750, the rally could extend further. However, if it fails to hold, a pullback to around $650 might be expected.
If BNB successfully breaks the $800 resistance level, it could provide a strong signal for traders to enter long positions, particularly if Bitcoin’s price movements remain favorable. CoinGlass data also reveals a 31.68% surge in open interest, exceeding $1.06 billion, indicating strong trader optimism. Furthermore, short liquidations have reached $3.56 million, highlighting the pressure on bearish positions.
Final Thoughts
BNB’s recent performance has reignited interest in the token, especially as Binance doubles down on its meme coin strategy. While the long-term sustainability of this rally remains uncertain, the current trends suggest that BNB could continue its upward trajectory. Traders and investors should keep a close eye on key resistance levels and market sentiment to determine whether this is truly the start of another BNB season.
