Binance Coin has recently become the third-largest crypto among over 2,000 different digital assets in the market, trading right behind Bitcoin (BTC) and Ethereum (ETH). With the current market cap of over 45 billion dollars, BNB currently accounts for 2.64% of the total market value of all cryptocurrencies. The crypto managed to score a new all-time high price as well on February 19th, trading at the price of 339$ after which BNB dipped to 302$. What is the reason behind the latest surge of Binance Coin and is BNB overbought?
Binance Coin (BNB) Becomes the Third-largest Crypto in the Market
Even though BNB dipped with the latest price correction and is now trading below the value of 300$, BNB is still holding the place of the third-largest cryptocurrency, surpassing Polkadot (DOT) by market capitalization in the recent bull run. With over 100% of gains in a single week, the question is: what is driving the price of BNB in the last seven days? Previously, it was the announcement from Binance on the matter of expanding the Binance ecosystem that might have pushed the price of BNB during the last week. It seems that these novelties are still driving the price of BNB up, as Binance is entering the DeFi waters while recording growth for Binance Smart Chain. As Binance Coin supports certain elements of the expanding Binance ecosystem, including discounts on trading fees, it is not strange to see the crypto surging to take one of the top three ranks in the market of cryptocurrencies.
Is Binance Coin Overbought?
At this point, BNB seems to be overbought, which is why the crypto started to dip after reaching its peak point at the price of nearly 340$. Binance Coin is now seen under the value of 300$, however, the crypto is still trading close to the initial price target of 300$ with a chance to go back up with the next surge that might as well be close.