Why did BNB's price go up today? Fed sees slower rate increases, pulling up cryptos
Binance coin (BNB-USD) spiked 12% in Wednesday afternoon trading as cryptocurrencies caught a bid after the highly-anticipated minutes of the Federal Reserve's November gathering indicated that the pace of interest-rate hikes could slow "soon."
Still, policymakers said the central bank's benchmark rate may need to reach a higher level than previously projected in order to bring inflation back down to its objective.
The global crypto market cap climbed 3.04% to $828.6B at the time of writing, according to CoinMarketCap data, and all three major U.S. stock indices extended gains, so investor sentiment has been shared across risk assets.
Looking at the popular tokens individually, bitcoin (BTC-USD) perked up 2.6% to $16.53K at 4:22 p.m. ET, ethereum (ETH-USD) advanced 3.7% to $1.17K, cardano (ADA-USD) +2.4%, dogecoin (DOGE-USD) +4.2% and litecoin (LTC-USD) +13.5%. Perhaps the upswings signaled that investors see a greater chance that the next bull run will start soon on prospects that the Fed will pivot sooner than expected. But that's hard to imagine as the implosion of FTX continues to send shockwaves through the crypto ecosystem and inflation still hovers at around 40-year highs.
Seeking Alpha contributor reckoned that binance coin could be "one of the best-performing coins in the coming bull cycle" following the implosion of crypto exchange FTX.