BNB price reaches $200 as Binance Smart Chain hits 2 million in daily transactions

In the past several weeks, many projects built on the Binance Smart Chain (BSC) have gained a lot of traction. The insanely high fees on Ethereum caused this.

PancakeSwap, which is basically the Uniswap of BSC has recently reached a $1.5 billion market capitalization and received more than $1 billion in liquidity. The exchange also processes around $1 billion in trading volume per day. On BSC, users have to pay using BNB, which naturally drives the price up.

BNB price aims for new highs as it continues gaining traction

In the past two weeks, BNB price is up by 300%. However, the number of whales has continued to increase. The amount of large holders with 10,000 to 100,000 BNB ($2,000,000 to $20,000,000) increased by 12. 

BNB Holders Distribution chart

Similarly, the number of whales with 100,000 to 1,000,000 BNB coins ($20,000,000 to $200,000,000) also increased by three. This indicates that large holders believe BNB price could rise even more in the near future.

The Binance Smart Chain has also just hit more than 2 million transactions in the past 24 hours. For comparison, Ethereum usually has about 1.2 million. However, the fees on BSC are extremely low-cost, which makes transactions easier to process.

BNB/USD daily chart

If BNB bulls can keep up this momentum, the digital asset can quickly rise towards $250, which is the 127.2% Fibonacci level. BNB price could even get pushed to $272 at the 141.4$ level. 

However, Binance Coin is certainly overextended and bound for a correction eventually. The nearest support level is located at $163, which is the 78.6% Fib level, but it can go as low as $133 at the 61.8% level.