BNB is a veteran project from 2017, ranking among the top ten tokens in the crypto space and successfully entering the top 5 by market capitalization during this bull market. Binance has also become the largest exchange in the crypto space, with no rivals in terms of project scale and fund security; Uncle Meow's large position is all in BN.
Initially, BNB was positioned merely as a CEX token used on exchanges to offset high transaction fees. As the ETH chain became stronger, BNB also launched BNB CHAIN, leading to a thriving on-chain ecosystem. The price of BNB has risen from an initial listing of 0.5U to the current 900U, and there is further potential for price increases in the future.
1. If the bear market comes, BNB is definitely one of the tokens to buy at the bottom (it holds even more weight in my heart than ETH)
The reason I am optimistic about BNB is summed up in two words: 'empowerment.' Looking across the entire CEX landscape, the only token that empowers itself best is BNB, and its role is not limited to:
1) Transaction Gas fees
2) BNB CHAIN validators stake collateral to ensure network security
3) Exclusive TOKEN for CEX new listings
4) Continuous empowerment of BN Exchange, buyback and destruction
Compared to other exchange tokens, BNB is like the stock of Binance Exchange; the exchange's profits will accurately reflect on BNB. New listings at different times are like dividend distributions, and the destruction mechanism acts as a flywheel, which has continued for several years without interruption. Destruction ➔ user confidence increases, frequency of use increases ➔ destruction amount increases, a high-quality flywheel has shown very good operation in recent years!
2. BNB Chain is getting better, showing impressive performance
Daily active address count ranks first (peaked at 3.4 million on October 13)
Daily DEX trading volume ranks first (approximately $19 billion/day, accounting for about 61.25% of market share)
Fastest growth in active addresses among all L1s (approximately 300% growth by 2025)
The highest number of active independent stablecoin wallet addresses (approximately 20 million)
Although BNB is currently showing signs of cooling, the rapid rise in chain status due to meme popularity has indeed shown me the potential of BNB Chain. If BNB Chain can optimize the speed of the chain in the future, it will definitely have the strength to compete with SOL later.
3. The support of the universe's largest exchange
The entry traffic of cryptocurrency exchanges represents the strategic high ground of the Web3 ecosystem, and the current high ground is BNB. Binance's CEX occupies about 55% of the entry traffic, becoming the first touchpoint for most global cryptocurrency participants.
The traffic center is BNB, transforming user participation into an asset engine—by providing trading fee discounts, early Launchpad participation qualifications, and ecosystem rewards, converting raw entry traffic into sustained liquidity, network effects, and platform value capture. This design has strategic significance.
Entry traffic is also an absolute demand of the Web3 ecosystem, linking network usage with native tokens that have clear utility and governance functions, allowing network throughput and token utility to expand together. This is also why BNB has survived to this day and has seen its market value surge into the top five.
4. Token economic model
The total supply of BNB is ultimately 100 million tokens, managed by automatic destruction (Auto-Burn) and BEP-95. These two mechanisms will reduce circulating supply based on activity and value flow, quarterly and in real-time.
These two mechanisms have permanently destroyed over 64 million BNB, accounting for more than 31.8% of the historical supply. This model is mechanically deflationary by design, transforming activity into balance: the more users use it, the more self-correction of its monetary base occurs. When usage and prices rise, more BNB is destroyed, and supply contracts; when activity declines, the destruction rate decreases, and supply stabilizes.
5. Future development plans
Cooperating with Ondo Finance and Franklin Templeton to lay the foundation for the future landing of RWA, and in the future, BNB CHAIN will support the direct purchase of government bonds, U.S. stocks, and other tokenized assets.
Cooperating with Circle (USDC) to deploy and cross-chain bridge, establishing a stablecoin liquidity center.
It can be seen that BN continues to primarily trade within the B circle's assets and is constantly expanding into more RWA asset trading. BN should be able to continue to hold the top position in CEX.
6. Looking for bottom space from a technical perspective
If we directly enter a bear market, the future bottom space for BNB is within the 650U range (according to Fibonacci calculations + monthly Bollinger Band predictions)
7. Uncle Meow's views and bottom-fishing strategies
First of all, I have already emphasized at the beginning of the article that BNB is a token I will definitely invest in, and future DCA for BNB is a must.
In 2024, BNB traded sideways around 600 for more than a year, then doubled to 1300U. This is itself a remarkable achievement and represents that the large capital near the 600U range has undergone sufficient turnover, and it is highly likely to become a new bottom range in the future. According to technical analysis, the bottom space is at 650U.
At the same time, as a CEX token, BNB itself has very low volatility. If the price can retract to below 700U, Uncle Meow believes that BNB already has bottom DCA space. At that time, I will officially start DCA for BNB.
