The top three gladiators that are standing as victors in the crypto coliseum are Bitcoin, Ethereum, and Binance. The third highest-ranking champion’s position has been getting snatched around by XRP, ADA, UNI, DOT, and many other altcoins before. The emergence of Binance to the 3rd top position comes as a big surprise to many. Up until three months ago, the digital token was available for below $50, and not it has climbed the rank to a price mark of $456.49.
This new ATH is not the stopping point but paves the way for a greater appreciation of the token in the coming days. For the better part of the year’s start, the Binance blockchain was covered in controversies and bad publicity. There were also some speculations about an ongoing investigation of the Malta-based crypto exchange platform. However, it seems that not only Binance tackled the legal issues successfully but managed to score a massive upsurge as well.
Is Binance Catching up to the Leading Coin?
While BNB is doing pretty well in the market, Bitcoin has been failing to climb up in the market time and again. It has missed the $60K climb for the fifth consecutive time. However, its stable position has started to make it a more appreciated store of value than ever before. The investors of BNB coin might not have great expectations before, but they must be feeling pretty happy with their decision for now.
Binance has been making very crucial changes for its native token that have gone unnoticed by many. For starters, it has shifted BNN from Ethereum blockchain to a personalized ecosystem called Binance Smart Chain (BSC). On the other hand, Binance keeps burning out millions of tokens every quarter to limit the supply and hike up the prices of its native token, BNB.
Investors are looking for Alternatives and Diversification
One of the richest men in the world, Warren Buffet, once advised investors to never put all of their eggs in one basket. At the moment, digital assets like Bitcoin have become widely successful and trending at about $50K on average against the USD. There are not many stocks, trade commodities, and digital assets that come remotely close to this type of exposure. The total market cap of all cryptocurrencies is $2 trillion, out of which 50% is contributed by BTC alone.
However, the price hike also means that small-scale investors would have to look for other alternatives to distribute their liabilities and manage their risk. Even large-scale institutional investors prefer to diversify their investment and put their stakes in other altcoins like ADA, XRP, BNB, and Bitcoin, and Ethereum.