Asset management firm Standard Chartered has made a bold prediction regarding the future of Binance’s native token, BNB. According to a recent analyst report, the firm anticipates that BNB could more than double in price by the end of 2025, potentially reaching $1,275 per token. This forecast comes amid a broader analysis of the cryptocurrency market and BNB’s position within it.
Key Takeaways
- Standard Chartered forecasts BNB to rise to approximately $1,275 by the end of 2025.
- The price could soar to as high as $2,775 by the end of 2028.
- BNB currently trades at around $600, with a fully diluted market cap of approximately $84 billion.
- The token has shown a strong correlation with Bitcoin and Ethereum since May 2021.
- BNB Chain is primarily focused on decentralized exchanges (DEXs), which may provide stability.
BNB Price Forecast
Standard Chartered’s report highlights a significant potential for BNB’s price growth. The firm projects that BNB will increase from its current trading price of nearly $600 to around $1,275 by the end of 2025. Furthermore, they predict that by the end of 2028, BNB could reach as high as $2,775. This optimistic outlook is based on the token’s historical performance and its relationship with major cryptocurrencies like Bitcoin and Ethereum.
Historical Performance
Geoff Kendrick, an analyst at Standard Chartered, noted that BNB has closely mirrored an unweighted basket of Bitcoin and Ethereum in terms of both returns and volatility since May 2021. This trend is expected to continue, which could drive BNB’s price higher in the coming years.
BNB Chain Overview
BNB is the native cryptocurrency of the BNB Chain, a layer-1 blockchain network associated with Binance, the world’s largest centralized exchange. Despite its significant market presence, the BNB Chain has been described as having less developer activity compared to other layer-1 networks like Ethereum and Avalanche. Standard Chartered characterized the BNB ecosystem as relatively "old-fashioned," primarily dominated by decentralized exchanges (DEXs).
- Economic Activity: Over 60% of the on-chain economic activity on BNB Chain is linked to DEXs, indicating a less diverse ecosystem compared to other layer-1 networks.
- Stability Factors: The firm suggests that this concentration on DEXs could provide a source of stability for BNB’s value, especially if Binance continues to maintain its position as a leading centralized exchange.
Future Outlook
Standard Chartered’s analysis indicates that BNB could serve as a benchmark for digital asset prices more broadly, given its established role in the cryptocurrency market. The firm believes that as long as Binance remains a dominant player, the value drivers for BNB are unlikely to change significantly.
In a related development, asset manager VanEck has filed to list the first BNB exchange-traded fund (ETF) in the United States, which could further enhance BNB’s visibility and adoption in the financial markets.
As the cryptocurrency landscape continues to evolve, investors and analysts alike will be watching BNB’s performance closely, particularly in light of Standard Chartered’s ambitious price predictions.
