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Binance Coin records new all-time high

Published 05/06/2024, 13:44
©  Reuters
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The token of the largest cryptocurrency exchange, Binance Coin (BNB), has reached a new all-time high after weeks of anticipation amid a slow upward trend.

The renowned digital currency broke its previous all-time high of $686, which it held for over three years. In the past few hours, the new price reached $716, while the coin was trading at $708 at the time of writing, marking a 12.5% increase in the last 24 hours.

This rise coincides with BNB surpassing the critical resistance level of $618, which had been preventing further gains. BNB's market capitalization now exceeds $100 billion, making it the fourth largest cryptocurrency by market cap, surpassing companies like UBS Group AG (NYSE:UBS), Dell (NYSE: NYSE:DELL), and Starbucks (NASDAQ: NASDAQ:SBUX).

Interestingly, this new all-time high comes as Binance's founder and former CEO, Changpeng Zhao, also known as CZ, began his four-month prison sentence on Monday. He was incarcerated in a federal prison in California for violating the Bank Secrecy Act (BSA), to which he pled guilty in April this year.

Bitcoin and crypto market rebound

Meanwhile, U.S.-listed exchange-traded funds (ETFs) saw inflows exceeding $880 million on Tuesday, led by Fidelity, according to preliminary data released on Wednesday.

Bitcoin surged past $71,000 in the past few hours as the data became public, adding 3% in the last 24 hours.

Fidelity's FBTC fund attracted inflows of $378 million, the highest among its peers. It was followed by BlackRock's iShares Bitcoin Trust (NASDAQ:IBIT) with $270 million, while Grayscale Bitcoin Trust (BTC) (NYSE:GBTC), known for its outflows, received $28 million.

This marks the best day for inflows since March and the second-highest overall since the launch of 11 Bitcoin ETFs in January.

Recent inflow activity has rebounded amid generally bullish sentiment after a few bleak weeks from mid-April to early May, a period that saw zero inflows on some days and even outflows from major ETFs like BlackRock's IBIT fund.

Eric Balchunas, a Bloomberg analyst, said on X that ETFs have captured $3.3 billion in the past four weeks, with year-to-date net inflows now exceeding $15 billion.

This heightened activity follows the recent approval of Ethereum ETFs in the U.S. and positive crypto sentiment from the ongoing U.S. presidential campaign.

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