One of the most fundamental laws of economics is that the lower the supply of a commodity relative to its demand, the higher the price. Binance coin (BNB) is one of those coins that one can comfortably invest in, based on this principle and make a ton load of money.
That’s because coins are burned, or rather discarded every quarter, with an aim of getting to 100 million coins. This means that every three months, a significant portion of coins are taken off the market. If the performance of Binance coins after the last two burns is anything to go by, it’s not hard to see why Binance coin (BNB) will easily hit $50 by March. Let’s review the last two burns and you will understand why.
The October 2017 burn
This was the first burn, at a time when the coin was trading in the $1.4 – $1.7 range. After this burn, the price of Binance managed to hit a high of $10 in December, just before the January 2018 burn. That was a clear indication that the burn was quite effective in growing the value of this coin despite it being a relatively new coin at the time. A price move from $1 to $10 in two months is no easy feat for a new coin.
The January 2018 burn
Immediately after the January 2018 burn, the price of Binance coin (BNB) shot up exponentially to hit a high of $24 within a few weeks. That was a monumental rise signaling to the growing value of this crypto, as its supply declined. In fact, the only reason this crypto has declined in value since the January burn is due to the overall decline of the crypto market. This declined affected all coins irrespective of their fundamental strength. But this presents a good opportunity for investors to stock up in anticipation of the upcoming March burn.
The upcoming March 2018
If you are an investor looking to make a killing as the crypto market rebounds, then you need to start stocking up on Binance coin right now. If the market reaction to the last two burns is anything to go by, you can expect the value of Binance coin to hit $50 and above next month. That’s because, other than the statistical comparison with the last two burns, there are a number of other factors supporting this burn.
For starters, the number of coins in circulation has reduced significantly after the last two burns. A quick look at the charts shows that the market jump after the second burn is higher than the first one. That’s because the number of coins was significantly lower after this burn than during the first burn. In the upcoming burn, the number of coins in circulation will be lower than the other two burns combined, which means investor money will be chasing an even lower number of coins.
Secondly, there is a higher market awareness about Binance coin (BNB) this time, than at any other time in its existence. This means more people will be looking to take advantage of this upcoming burn, and the result will be a price jump of unprecedented proportions. Even a valuation of $100 is within reach after the March burn.
This is the most appropriate time to invest in Binance coin (BNB) and reap big in a few days