Binance Coin Breaks Out Amid Market Fall: Can It Surpass $340?

Binance Coin defies the bearish market with an 8% surge, expected to climb above US$340

Binance Coin (BNB), the native token of the world's largest cryptocurrency exchange by trading volume, has been outperforming the market in the past week, gaining over 7% while most other coins have been in the red. BNB reached a high of US$320 on January 15, breaking out of a descending channel that had been forming since late December. However, it still faces a strong resistance zone at US$340, which has been keeping the price below it since May 2022. Can BNB surpass this level and resume its uptrend?

One of the reasons behind BNB's recent rally is the growing popularity of Binance Smart Chain (BSC), the blockchain platform that hosts many decentralized applications (DApps) and tokens. According to DappRadar crypto news, has over 2,000 DApps, with more than 1.5 million active users and over US$15 billion in total value locked (TVL) as of January 16, 2024. BSC offers fast, cheap, and scalable transactions, making it an attractive alternative to Ethereum, which suffers from high fees and congestion. BNB is used to pay for gas fees on BSC, as well as to participate in various DApps, such as decentralized exchanges (DEXs), lending platforms, gaming, and NFTs.

Another factor that may boost BNB's crypto price is the upcoming launch of Binance NFT Marketplace, a platform that will allow users to create, buy, sell, and trade NFTs. Binance NFT Marketplace is expected to launch in late January 2024, and will feature exclusive collections from artists, celebrities, and sports stars, as well as collaborations with other platforms and brands. Binance NFT Marketplace will also integrate with BSC, enabling users to access a wide range of NFTs with low fees and high liquidity. BNB will be the main currency for the platform, as well as for the Binance NFT Launchpad, a service that will help creators launch their own NFT projects.

However, BNB is not without challenges, as it faces increasing regulatory scrutiny and competition from other exchanges and platforms. Binance has been under pressure from regulators in several countries, such as the UK, Japan, Singapore, and India, for allegedly operating without proper licenses and compliance. Binance has also been accused of facilitating money laundering, market manipulation, and tax evasion by various authorities and media outlets. Binance has denied these allegations and said it is working with regulators to resolve any issues. Binance has also been losing market share to other exchanges, such as Coinbase, Kraken, and FTX, which have been expanding their services and offerings, as well as complying with local regulations.

Therefore, BNB's price outlook for 2024 depends on several factors, such as the performance of BSC and Binance NFT Marketplace, the resolution of regulatory issues, and the competition from other platforms. BNB has shown resilience and strength in the past week, breaking out of a downtrend and defying the market slump. However, it still needs to overcome the US$340 resistance zone, which has been a major obstacle for the past eight months.