- BNB reaches an all-time high of $794, surging 22.5% in 24 hours.
- Bitcoin dominance drops as altcoin market cap grows by 36.5% in two weeks.
- Short liquidations in BNB futures signal strong upward momentum during breakout.
Binance Coin (BNB) has surged to a record high of $794 on December 4, rising 22.5% within 24 hours. This marks one of the most impressive performances in the cryptocurrency market, which saw overall growth of just 3% during the same period.
According to CoinMarketCap, the rally aligns with a recent shift in market sentiment toward altcoins. Over the past two weeks, Bitcoin’s dominance index dropped from 61.53% to 54.73%, indicating traders’ growing appetite for alternative cryptocurrencies. During this time, the altcoin market capitalization increased by 36.5%, reflecting renewed investor interest.
Binance co-founder Changpeng Zhao hinted at this trend in a cryptic social media post on December 3, suggesting that an “altseason” might be underway. Altseason refers to a period when altcoins outperform Bitcoin in percentage gains, driven by traders seeking higher profits.
Futures Market and Technical Breakout Signal Further Upside
Short liquidations in BNB futures have further contributed to its upward momentum. Since December 3, short positions worth $5.48 million have been liquidated, nearly double the $2.72 million in long liquidations. This imbalance highlights the impact of a short squeeze, where traders betting against price increases are forced to buy back the asset at higher prices, fueling further gains.
From a technical perspective, BNB’s price action has confirmed a breakout from a long-term cup-and-handle pattern. This bullish structure, which combines a rounded consolidation phase with a pullback below resistance, projects a potential price target of $2,500 by 2025 if current momentum persists.
The broader altcoin market has shown similar bullish patterns, with tokens like Tron (TRX) posting gains of over 200% following similar technical breakouts. As BNB and other altcoins continue to climb, the market is closely watching for sustained momentum in what could shape up to be a defining altseason.
