$BNB
BNB (Binance Coin) is Binance Exchange's own cryptocurrency. It was originally built on the Ethereum network but currently runs on Binance Chain, Binance's own blockchain.
Reasons for BNB price increase:
1. Popularity of Binance Exchange: Binance is one of the largest crypto exchanges in the world. As its activity increases, so does the demand for BNB.
2. Binance Smart Chain (BSC): The use of Binance Smart Chain in the DeFi (Decentralized Finance) and NFT sectors is growing rapidly. This is one of the major reasons why BNB prices have increased.
3. Use in gas fee payment: Binance Smart Chain uses BNB as transaction gas fee, which increases demand.
4. Buyback and burn process: Binance regularly burns (removes forever) BNB, which reduces supply and helps drive up prices.
5. Utility: BNB is not only for trading fee discount on Binance platform; It is used in DeFi, payments, and other fields.
6. Overall Rise in Crypto Markets: Rising prices of major cryptocurrencies like Bitcoin also affect the prices of other tokens including BNB.
Risk Factors: Although BNB is a strong cryptocurrency, its price may fluctuate due to various factors, such as market volatility, regulatory changes, and any impact on Binance exchange operations.
The future price of BNB will depend on the growing influence of Binance and its use in the blockchain ecosystem. But it is important to research well before investing.