Recent changes in the BNB network indicate a noticeable decline in activity, raising concerns about the future of the token.
Drop in Transactions and New Address Creation
Recently, the BNB network experienced a sharp decline in the number of transactions, confirmed by data from BscScan. The transaction count fell by 12.02%, reaching approximately 12.7 million, indicating reduced network usage. Additionally, the number of new addresses created on the chain decreased by 25% in the last day, reflecting a waning interest from users.
Bearish Sentiment in Derivatives Markets
The situation on the BNB derivatives markets has also worsened. Open interest in futures contracts dropped by 71.36%, demonstrating significant position closures and a rise in bets on price declines. The Open Interest Weighted Funding Rate turned negative, confirming bear market sentiment among traders.
Decreased Activity in the Spot Market
On the spot market, selling activity has increased, with active traders exchanging BNB for other assets. In the past week, outflows of $36 million have been recorded. These indicators intensify downward pressure on the token price, potentially leading to further declines.
The decline in BNB network activity, negative sentiment in derivatives markets, and increased selling in the spot market create unfavorable conditions for the token's price movement.
