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Why is BNB Still Soaring While the Market is Falling?

en.bitcoinsistemi.com

2 hour ago

Why is BNB Still Soaring While the Market is Falling?

BNB continued its rise today while other leading digital assets suffered notable losses. Analysts state that BNB's strong ecosystem usage and capital structure are behind this resistance. Ethereum fell 1.4% and XRP 0.65% in the last 24 hours, while Bitcoin traded sideways after a negative trend for most of the day. Meanwhile, BNB rose 1.3% in the last 24 hours to trade at $1,293. Analyst Dean Chen noted that BNB has shown remarkable resilience amid the market-wide pullback: “BNB's utility within the ecosystem, token economics, and capital structure support this resilience. As Binance's native coin and the underlying gas asset of BNB Chain, on-chain demand continues to grow in DeFi, RWA, gaming, and infrastructure projects.” Another factor supporting BNB's performance has been increased institutional interest. YZi Labs, the company owned by former Binance CEO Changpeng Zhao, recently announced a $1 billion fund for BNB Chain developers. “Market interest around CZ’s YZi Labs initiative has strengthened investor confidence and BNB’s long-term outlook,” Chen said. Chen argued that BNB’s use within the network plays a key role in its durability: Binance's ongoing auto-burn and quarterly burn mechanisms gradually reduce supply. This structural scarcity strengthens price flexibility as demand increases and provides a robust hedge against market declines. *This is not investment advice.

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