According to Coinmarketcap, $BNB hit a high of $334.38, marking its best result since mid-August. Earlier this week, rumors spread that Binance contributed $500 million to Elon Musk’s takeover of Twitter. In a recent tweet, Binance’s CEO confirmed the speculation. The current BNB gain can also be attributed to Binance’s other efforts, including recent BNB burns and international expansion.
BNB has seen rapid growth in the past 72 hours following the completion of Elon Musk’s acquisition of Twitter. According to Coinmarketcap, $BNB hit a high of $334.38, marking its best production since mid-August. This positive market performance during this period coincides with Binance’s support for the Twitter acquisition deal. Recall that last Friday, when news of Elon Musk’s Twitter acquisition deal hit the media, rumors surfaced that Binance also contributed $500 million to the course.
Consequently, speculation about Binance’s involvement continued until words from Binance CEO Changpeng Zhao ended it. While Binance’s participation in the acquisition was first revealed in May, an SEC filing listed Binance as one of 19 companies Musk worked with.
Other Factors that Possibly Contributed to the Growth
However, the closing of the takeover deal shouldn’t get all the glory of this sudden surge in $BNB. It’s fair to say that $BNB’s recent gains can also be attributed to Binance’s other efforts. About two weeks ago, the cryptocurrency exchange announced the completion of the 21st $BNB burn, stemming from the Pioneer Burn program. The $BNB interval burn is designed to reduce the token volume in circulation to increase price stability. The expansion of the Exchange in Cyprus, opening offices in New Zealand also contributed to growth.
The market cap of the $BNB token is currently $53.39 billion compared to $43.54 billion on October 4th.
Why You Should Care
The recent bull run brings good news for the BNB chain ecosystem after the cryptocurrency fell from $511.91 earlier in the year. This indicates that the coin is price-wise better than other major cryptocurrencies during this bear market.