World’s leading crypto exchange, Binance, recorded most profitable quarter evident by the amount of coin burn for Q1 2020. Every quarter, it burns 20% of its profits. The estimates suggest a profit of $262.33 million in the Q1 of 2020.
At the 11th quarterly BNB Burn, Binance burned 3,373,988 BNB, worth 52.4 million USD, at the present rate of $15.55 per token. The Exchange notes,
This is the biggest BNB burn ever recorded, in terms of both BNB and fiat volume.
The previous high was recorded in the last quarter of 2019 with profits’ totalling $190.
Apart from leading in the spot markets, the exchange has now gained adequate dominance in the derivatives market as well. Furthermore, BINANCE recently launched options trading on the exchange which will help in the growth of the business.
Price Analysis
The coin burns are bullish for the Binance [BNB] coin as well, as it results in a decreased supply. The token is designed to burn 46.6% of its total supply until it reaches 100 million tokens.
Currently, the price faces resistance from the $17.3 from the 200-Day Exponential Moving Average (EMA) on a daily scale. On a weekly scale, it faces resistance from the 50-period EMA around the same level at $17.6.
With respect to Bitcoin [BTC], the price has broken above the moving averages forming higher highs and higher lows. Nevertheless, it faces resistance from the 0.00229 BTC range resistance.
How do you think the exchange and its token will perform in the rest of 2020? Please share your views with us.
