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Binance [BNB]: Key metrics rise, but will slow price movement play spoilsport

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BNB’s daily average transactions witnessed a massive boost compared to the previous week. Despite its achievements, BNB’s price action can remain dormant for a while. 
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BNB Chain observes a massive surge in daily transactions, but investors should be cautious 
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  • BNB’s weekly transactions surpassed the 28 million mark.
  • Growth in GameFi was noted, but market indicators were bearish on BNB.

Last week, BNB Chain [BNB] witnessed a massive surge in its weekly active users as it surpassed the 4 million mark. However, the blockchain’s number of transactions did not follow the same trend, as it remained low. This week, however, things were different. BNB recently posted its weekly highlights report, which revealed an increase in the number of transactions. 

Read Binance Coin’s [BNB] Price Prediction 2023-24

BNB transaction count soars

As per the above tweet, BNB’s weekly transactions surpassed 28 million last week. Apart from this, BNB’s daily average users remained at 1.2 million, while the blockchain’s gas fee was 0.00046 BNB.

A possible reason for the increase in transactions could be the launch of new dApps on the blockchain. This included Arrakis Finance, RYI Unity, Crecy.io, Head Games, and more.  

Source: BNB Chain

Interestingly, GameFi might have also been a key contributor. BNB revealed a few days ago that 20 gaming dApps on BNB Chain accounted for 9.17% of the average daily transactions on BNB Chain.

Coupled with its new dApp launches in the GameFi ecosystem, it suggested that BNB’s GameFi has been instrumental in its growth.

BNB is watching the episode silently

Despite the expansions, BNB’s reaction on the price front was not volatile. The token’s price only increased marginally over the last seven days. As per CoinMarketCap, at the time of writing, BNB was trading at $323.68 with a market capitalization of over $50 billion.

A look at BNB’s metrics gave an understanding of what went wrong. For example, the token’s MVRV Ratio was resting low, which was bearish. 

Source: Santiment

Negative sentiments around BNB also dominated the market, as evident from its weighted sentiment. Due to the slow-moving price action, BNB’s daily on-chain transaction volume in profit also plummeted. Additionally, its velocity also declined, suggesting that BNB’s frequency of transactions was low. 

Is your portfolio green? Check the BNB Profit Calculator  

Investors must be patient 

BNB’s daily chart revealed that investors might have to wait longer to enjoy profits. The MACD’s data indicated that the bears were ahead of the bulls.

Moreover, BNB’s Money Flow Index (MFI) registered a decline, which was yet another bearish signal. Its Relative Strength Index (RSI) also took a sideways path, further increasing the chances of a few more slow-moving days in terms of price action. 

Source: TradingView

 

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Dipayan is a full-time journalist at AMBCrypto. He has 2 years of experience in the content creation industry. A graduate in journalism, Dipayan has a keen interest in keeping himself updated with the latest developments in the crypto-space. He is a singer and a guitarist who also enjoys going on long bike rides.
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