Binance Coin: Could $1.2 Billion BNB Burn Spark a Rally in Q1 2026?

Summary:
Binance is reinforcing its position as the largest crypto exchange and a top EVM chain. With recent activities indicating potential growth for Binance Coin (BNB), the upcoming token burn of $1.2 billion could be a crucial factor. As the cryptocurrency landscape is continually changing, the question remains: Will BNB reclaim its place among the top digital assets in Q1 2026?

Key Takeaways:

Binance Coin (BNB) is prepping for a significant $1.2 billion token burn in Q1 2026.
The reduction in BNB supply could favor a price increase if demand supports it.
BNB Chain has been gaining traction with a peak of 2.63 million active addresses.
Despite current bearish indicators, a favorable market shift could lead to price recovery for BNB.

Binance Coin: Could $1.2 Billion BNB Burn Spark a Rally in Q1 2026?

Impact of Massive Token Burns on BNB

According to information from BNBBurn.info, there is an impressive token burn planned for the first quarter of this year. The close of 2025 saw a substantial burn of around $1.276 billion, which included about 1.371 million BNB tokens awaiting execution.

As we moved into Q1 2026, an additional $1.217 billion worth of BNB was set to be permanently removed from circulation. This represents over 1.374 million BNB, which is roughly 1% of the circulating supply.

BNB

Source: BNBBurn.info

Burning these tokens will reduce BNB's total supply, creating a bullish scenario—but only if there is sufficient market demand. This development could trigger a rally for the altcoin in Q1 after the burns are completed.

Increased Chain Activity on BNB

Alongside the upcoming token burn—viewed as a positive factor—the chain activity on BNB is also thriving. The BNB chain topped the charts among EVM chains with an impressive count of active addresses, at about 2.63 million.

This performance surpassed other networks like Sei Network [SEI], Polygon [POL], Base Chain, and even Ethereum [ETH], with BNB's active addresses being double that of SEI.

Source: Sei Network

Moreover, the supply of stablecoins on the BNB Smart Chain recently reached an all-time high of nearly $16 billion, which is almost a $2 billion increase in less than two months, beginning in mid-November.

Source: Dune Analytics

This surge highlights the role of stablecoins in providing necessary capital for the blockchain, which can consequently lead to a price increase for BNB in line with its on-chain activity.

Is Q1 2026 Bullish for BNB?

Analyzing the price charts, BNB has been fluctuating within a specific range since mid-December. During the first week, the price did rise but couldn’t surpass $921, leading to extended consolidation.

At the time of writing, the MACD indicator showed a significantly bearish trend, while the Net Volume was at $512—positive, yet not substantial enough to signal a strong move.

The planned token burns paired with rising chain activity may alter this bearish trend as we progress through Q1. A breakthrough above $921 could allow BNB to regain its previous high and potentially surpass it.

BNB

Source: TradingView

However, making significant gains will depend on broader market conditions aligning favorably.

Conclusion

As we head into Q1 2026, the dynamics surrounding Binance Coin (BNB) are intriguing. With a significant token burn and solid chain performance, BNB could potentially rally—but much will depend on market sentiment and demand.