BNB Price Expected to Reach $600 as Scroll’s SCR Cryptocurrency Launches on Binance
Despite a general struggle in the market, Binance Smart Chain’s (BSC) native token BNB continues to surge, building on its weekend gains. One significant factor fueling its upward trend is the increasing demand for yield farming on the BSC network.
Recently, Binance announced the launch of Scroll’s SCR token on its platform, attracting whales who have been acquiring BNB for Scroll yield mining. While other major cryptocurrencies like Bitcoin and Ethereum saw outflows leading to lower prices, BNB managed to sustain its upward momentum, trading at $580 at the time of writing after a nearly 3% increase on Tuesday.
With a growth of over 6% in the past week, BNB emerged as the biggest gainer among the top 10 cryptocurrencies by market capitalization.
Notably, the current price of BNB is just 3.44% below the $600 target. This is significant as BNB has faced challenges breaking the $200 barrier in recent months, often facing selling pressure each time it approached the mark.
The question now is whether BNB will face a pullback or sustain its momentum above $600 this time.
Will BNB Maintain Its Upward Momentum?
If the current catalyst supporting BNB weakens, the cryptocurrency might encounter some selling pressure. Data on buy and sell volumes indicate an increase in selling pressure over the past two days.
The higher selling pressure relative to buying pressure suggests that BNB could face resistance in its ascent to $600. However, the outcome will hinge on whether demand remains strong or wanes, potentially opening the door for bears to dominate.
Additionally, there has been a noticeable recovery in network activity on the BNB chain. Transaction volumes rose from a weekly low of 3.16 million TXS on October 5th to 3.65 million transactions on October 9th.
Network fees also showed a turnaround in the last three days after a decline since the end of September. Daily fees dropped to $306,000 over the weekend but have since surged to exceed $350,000, indicating a recovery in network usage.