BNB had a pretty rocking day yesterday. They had so many transactions, and even their network got congested because of too many people trading with bnb yesterday.
I tried farming on of the popular defi site but I had trouble staking my bnb, it took me so long to approve my contract on farms and it finally got failed. I got bit irritated but it's good to think that bnb is recovered somehow from the hard DIP.
Price touched over 600 too, but it's unable to stay there for long. Price is moving pretty quick like within seconds.
I was swapping my Julb to bnb yesterday, price increased 20$ within in a blink of an eye and I had to accept the new price for swapping my Julb tokens.
Why BNB is unable to stay at 600 and above?
Due to a lot projects on binanace smart chain most of the people are buying BNB for staking and other stuff, But some people are exchanging their bnb for getting new coins to farm and enjoy the staking profits.
BNB based defi farms have higher APY than etherium based defi farms. So people are buying BNB and also exchanging BNB for other tokens. That could be the reason price is moving pretty quick up and down.
And also people are selling bnb as soon as it reached 600 dollar price that's why it's being very inconsistent at $600.
BNB vs ETH
BNB market cap is 1/3rd of ETH market cap. Etherium is going good but the price increment is more in BNB.
BNB price was 30 dollars on 18th December 2020,
And ETH price was around 600 dollars on 18th December 2020.
Both of these coins are trading at BNB $572 and ETH $2,260 respectively,[now 21st April 2021] If we compare the percentage difference
ETH went from 600 to 2,260 with 276% increase, where as BNB went from 30 to 572 with whopping 1800% increment. That means bnb has 1524% more increment than the ETH in the last few months.
Can BNB beat ETH?
Well it's not just the price of coin that matters, volume of the coin also matters. Currently bnb has only 1/3th worth of ETH market cap. But we never know if BNB could grow as fast as it went from 30 to 572, including dips. It can beat ETH in a few years, because there are so many new projects on BNB compared to ETH. People are moving from ETH to BNB for the less fees and minimal transaction time. And aslo BNB grew faster than ETH.
Conclusion : If you are a bnb holder, you probably be worried about impermanent loss and dips. And the fast moving price ticker probably making you stress. It's all of because of so many transactions in a short time. No need to panic, with so many projects going on BNB, price would go much higher in the future. And also don't take this post as advice to buy some BNB's. Never buy when the price is too high, only buy only when it's in DIP and that too with your own reasearch.
Thanks for stopping by, Good bye :)