Binance Coin Shows Strength Due to Robust Demand

When looking at the cryptocurrency market, tokens for exchanges and those with lots of currency pairs are showing greater price stability through this general market decline for crypto assets in 2018. One coin that has outperformed many is the Binance coin which through the Binance exchange is paired with 70 altcoins. This enables an investor to buy these 70 altcoins with Binance coins instead of having to convert to some other commonly paired currency such as Bitcoin or Ether.

The Binance exchange has grown to be the largest crypto exchange in the world by offering low trading fees, offering access to many popular cryptocurrencies, and providing investors a trading platform that is attractive and easy to use. One reason for the growth in the popularity of the Binance coin is that trading fees are 50% less when the Binance coin is used on Binance thus providing a strong economic incentive for it's use in trading cryptocurrencies.

Cryptocurrency trading volumes may be in a short term decline because of the market decline occurring, however, over the medium to long term trading volumes will likely grow and may grow by a considerable margin. In such a scenario exchanges like Binance will benefit from the increase in trading volumes and its coin, the Binance coin, will see increased demand because of the higher trading volumes. Cryptocurrencies are very much in a fast growth period of development and with instititutional money about to pour in will see higher trading activity.

The Binance coin has appreciated from $1.50 in January 2018 to $15.00 approx now in June 2018 an increase of 1,000% or 10 fold. This during a time of negative price trends in the cryptocurrency markets and lower trading volumes seen now as compared to the beginning of the year. Despite such a market backdrop Binance has emerged as a strong competitor in the exchange market and its coin has seen increased demand along with the growth of the exchange. If the cryptocurrency market improves Binance will likely continue appreciating and even if the market remains negative, Binance, will likely be able to consolidate its gains and continue growing as its competitors weaken.

As a result I strongly recommend investors buy the Binance coin for medium to long-term investment and capital appreciation. With its focus on low trading fees and it's easy to use trading platform I believe Binance will continue growing and gaining market share in the fragmented cryptocurrency exchange market. Good luck.