Cryptocurrency

Better than Bitcoin: Binance Coin (NBB) proposes to BTC in the race for the title of “best plant in 2019”

Bitcoin is referred to, among other things, therefore, as “digital Gold” because it can produce each year an impressive and relatively stable upward trend. There is much to say about a Utility Token as the Binance Coin (BNB), which has exceeded the largest crypto-currency at the end of last year by over 40 percent.
In 2019-annual report Binance shows that the BNB was able to achieve a growth rate of 128 percent, the best Performance among the ten largest crypto-currency investments according to market capitalization in the year 2019. Bitcoin was an increase of 87 percent, the second-best system.
Clear: Binance has, of course, a large interest to let the house own tokens look good. However, this information was already readily available, and the report of the Maltese crypto-currency exchange shows, interestingly, the correlations between the crypto-currencies on the market.
The General result is that the large crypto-currencies are high correlations among each other and the means that crypto-currencies to shifts in the Market tend to move together.

BNB with a clear lead

Interestingly, recorded in 2019, only four of the ten most important crypto-currencies profits. In addition to Bitcoin and BNB Litecoin (LTC) rose by 29 per cent, and Bitcoin Cash (BCH) to 24 per cent. Even more – all those who were at the end of the year, in green, showed no positive results in the first and second quarter, because the entire second half of the year was for the Top 10 currencies in red.
Source: Binance Research, Binance.com

Outside the Top 10 and in the Top 19 currencies have been some other crypto, the bitcoin could exceed profits, especially Tezos, Huobi Token and Chainlink. Bitcoins market dominance, however, increased significantly, from 52 percent to 68 percent – only one percent from the Year high of 69 percent in September.

How are cryptocurrencies?

For the uninitiated, is easy to observe that the market for crypto-currencies in General, moves as a single market and at the top of most of Bitcoin is headed. If Bitcoin recorded a sudden increase in the price, follow the Coins often shows a strong correlation.
In fact, it was in the case of large-capitalized crypto-currencies no evidence for negative correlations. The lowest correlation value Tezos (XTZ) had a correlation coefficient of only 0.3 on a scale of -1 to +1.
Of the most with BNB correlated Coin was Ethereum. ETH held this place throughout the year, with an average correlation coefficient of 0.69. Programmable Blockchains like Ethereum, EOS and NEO had higher median correlations with each other than alternative investments.
Binance comes to the conclusion that in terms of the correlations a number of idiosynkrati are factors in the game, such as, for example, the Cluster of programmable Blockchains, as well as the existence of the so-called “Binance effect”.

About the author

Eve Manning

Eve Manning

A native Texan, Eve first started out as a Finance Analyst and later realized that her true passion was not in trading but in writing. She leverages her experience in the Finance industry to analyse and write in-depth news articles covering the Cryptocurrencies, Economy & Finance industries.