Binance coin to take over Cardano market share with explosive breakout to $700
- The percentage of Cardano staked has dropped consistently since the beginning of August 2021.
- Binance coin has rallied 12.8% in the past week, and the altcoin is in close competition with Cardano for dominance in market capitalization.
- According to multiple sources, Binance is considering obtaining investment and protection from government funds.
- The bullish development is likely to drive Binance coin price higher.
Binance coin (BNB) prepares to regain its position in the crypto market. Analysts have a bullish outlook on BNB in light of recent developments.
Binance coin rally to $700 expected
The native token of leading cryptocurrency exchange Binance, BNB recently lost its long-standing position as the third-largest cryptocurrency based on market capitalization.
Multiple sources have revealed that Binance is considering raising investment from government funds at a valuation of $200 Billion. According to experts, the rising regulatory concerns surrounding the exchange's operations and product offerings in Singapore, China, the UK and the US are likely to have triggered the exchange to seek protection from the government.
The government of Singapore has been named as one that is most likely to invest in Binance. The exchange has declined to comment on the news.
The native asset of Binance is expected to climb higher in response to the investment proposition. Analysts have predicted that BNB is likely to surge to $700.
Scott Melker, an independent crypto analyst and host of the Wolf Of All Streets podcast, recently shared his analysis on Twitter.
$BNB
— The Wolf Of All Streets (@scottmelker) August 21, 2021
Flipped the smaller range to support and the EQ of the larger range. Minimal resistance to $700. pic.twitter.com/ZtpLUtiK6R
Binance coin is directly competing with Cardano. At the same time, the declining volume of staked Cardano indicates a drop in interest from traders.
If the fall continues, it becomes further conducive for BNB to recover market capitalization and replace Cardano as the third-largest crypto.
Pieter Nierop, an independent Cardano analyst, shared his concern on Twitter
We see the percentage of #ADA staked slowly going down.
— Pieter Nierop (@nierop_pieter) August 22, 2021
Make sure if you new to #Cardano that you stake your ADA. It’s very easy and gives you an additional about 5,5% ADA in rewards.
Google on how to or just ask help here.
Despite bearish on-chain metrics, analysts at FXStreet suggest that Cardano's price is showing strength and the next target for Cardano is $3.50. Analysts expect the altcoin to rally to $3.62 before retracement begins.
Author
Ekta Mourya
FXStreet
Ekta Mourya has extensive experience in fundamental and on-chain analysis, particularly focused on impact of macroeconomics and central bank policies on cryptocurrencies.
