- BNB price has staged a strong recovery in the past two days.
- Binance Chain DeFi TVL has jumped, helped by Venus and PancakeSwap.
BNB price staged a strong recovery this week as the ecosystem’s total value locked (TVL) in the DeFi industry bounced back. Binance Coin rose to $301, which was the highest level since November 11 of this year. It has jumped by more than 23% from the lowest level this week.
BNB TVL rebounds
Binance Coin has performed better than Bitcoin this month. After crashing to a low of $243 this week, it has rebounded by more than 20%. This recovery is partly because of the relatively dovish minutes published by the Federal Reserve on Wednesday. The minutes showed that most officials favored smaller rate increases in the coming meetings.
Another possible reason is that Binance’s DeFi ecosystem has held well in the past few weeks. Data compiled by DeFi Llama shows that the total value locked in the ecosystem has risen by almost 10% in the past 30 days. In contrast, Ethereum has lost 18% while Tron, Avalanche, and Optimism have shed over 20%.
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Binance’s TVL has jumped by 18% in the past 7 days and over 15% in the past 24 hours. This strength has been because of of Venus and PancakeSwap. Venus, the biggest lending protocol in Binance, has seen its TVL jump by 47% in the past seven days to $1.7 billion. PancakeSwap has risen by 14% to $4.35 billion.
This performance has been dragged by several DeFi apps that have lost money. Key among them are Alpaca Finance ad BiSwap, which have seen their TVL drop by 45.30% and 26%, in the past 30 days, respectively.
Another possible reason for the BNB price rally is that Hooked Protocol will be launched on Binance launchpad. HOOK is the native token for the Hook Protocol, which is an on-ramp layer for immersive learning. This is a sign that the BNB Smart Chain’s ecosystem is still growing.
BNB price forecast
The daily chart shows that the BNB coin price has staged a strong comeback in the past few days. It retested the resistance level at $300, which is both a good psychological level and a place it struggled to move above in September and October.
BNB has also moved above the 25-day and 50-day moving averages while the Relative Strength Index (RSI) has moved above 50. Therefore, in the near term, the coin will likely continue rising as buyers target the key resistance level at $335, the highest point on August 10.
