BNB Price News: VanEck BNB ETF Launch Could Trigger Rally to $950

BNB (BNB) unexpectedly broke through the $700 ceiling this Saturday as trading volumes exploded by nearly 200%.

A massive short squeeze was triggered as a result of the move. Over $9 million worth of BNB shorts were blown up in just 24 hours, and this could set the stage for a massive rally as bears were caught off guard.

This rally seems to have been prompted by the launch of the first BNB-linked exchange-traded fund (ETF) in the United States – the VanEck BNB ETF (VBNB).

The vehicle aims to mirror the performance of the native asset of the BNB Chain, and plans to incorporate staking into its structure soon. Each share is backed by BNB tokens held in cold storage.

Early data shows that assets under management closed the week at just $1 million. However, as the fourth most valuable cryptocurrency, this ETF will likely attract significant inflows next week.

BNB Could Borrow a Page of Hyperliquid’s Playbook and Keep Rallying

Similar ETFs for top altcoins like Solana (SOL) and XRP (XRP) boast net assets of $943 million and $1.14 billion, respectively. Hence, it would be logical to think that BNB will attract somewhere between $1 billion in net inflows rapidly.

This overly excited response from the market to the launch of an ETF contrasts with the overall mood of the top 5 cryptos. BNB is now competing with Bitcoin (BTC) in terms of year-to-date (YTD) performance, with a 15% loss, while its rival altcoins like ETH have shed more than 30%.

A closer look at BNB’s on-chain data shows no major changes in transaction volumes or trading volumes prior to the news. Hence, we believe that this ETF launch caught the market off guard, and that explains why this short squeeze is defying the dominant sentiment, which is bearish.

This could play in favor of BNB’s short-term performance, especially if some FOMO kicks in. Recently, the launch of the first Hyperliquid ETF by Grayscale drove, among other things, a strong rally that has pushed the price of HYPE above $70 already.

Market participants seem to be expecting a similar reaction from BNB to VanEck’s launch. However, HYPE’s rally was also caused by positive project-specific news, including the growing popularity of RWA asset trading through Hyperliquid-native platforms like trade.xyz.

BNB Could Yield a 7x Return After Key Resistance Breakout

Heading to the charts, in our latest BNB price prediction, we highlighted that a break above the $680 resistance could prompt a strong move toward $950 in the mid-term.

This is exactly what happened this weekend, and even better, we ripped through the 200-day exponential moving average (EMA). Given that this is a major indicator that market participants tend to keep track of, its technical relevance for the price action cannot be understated.

We already see the evidence that this breakout caused a strong short squeeze, and that could set the stage for the continuation of this rally to higher price zones. As long as that 200-day EMA support holds, the odds of a move to $950 are now higher than ever.

BNB has already managed to defy the market’s dominant trend in the past, and it could do so again this time. This trade offers a 7x risk-reward ratio if you entered right after the $680 breakout. Meanwhile, if we get a retest of that level, that could give late buyers another chance to take this long position.