Binance Coin (BNB) Price Rises Above $20 on Genesis Block Launch Expectations
The new Binance Chain for the upcoming decentralized exchange took the BNB token to new heights in 2019.
Binance Coin (BNB) is on track to repeat its dollar-denomination record, after setting new peaks for 2019 above $20. The triggering event for the new price rally was the announcement of an upcoming launch of the Genesis block for the Binance Chain, a long-promised proprietary network.
Following the news, BNB rose to $20.56, spiking sharply in the early morning hours of Asian trading. The asset added around 5% net in the past 24 hours, with a recent peak at $20.86. Trading volumes also reached a temporary peak above $250 million’s equivalent in the past 24 hours.
The new Binance network will create a new type of digital asset, while preserving BNB as an Ethereum-based token. Initially, the network will use a series of servers secured by the Binance team, but later allow for voluntary mining.
Binance hinted at an unannounced “evolution”, possibly regarding the launch of its DEX. The exchange is becoming more influential, with another token sale coming up at the end of April, as well as an increased pace of trading. Binance trading volumes were above $887 million in the past 24 hours this Thursday, with trading regularly exceeding $1 billion.
Binance is also seen as one of the more reliable exchanges, where the volumes achieved are more realistic based on real user visits.
The trading volumes for BNB are split roughly equally between pairings with Bitcoin (BTC) and Tether (USDT). Currently, BNB has fallen slightly against BTC, and a possible recovery in Satoshi price may also add to the dollar valuation. BNB has been seen as relatively undervalued.
The boost to the asset’s value also came from the seventh quarterly coin burn, diminishing the supply and spreading as much as $15 million to traders. The relatively high quarterly distribution signals the market recovery in the past quarter, based on the higher market price for BNB. The asset bounced from lows under $4, making BNB one of the most successful digital assets.