Binance Coin price remained on edge this week as the crypto market wavered. BNB token was trading at $627 on Saturday, much lower than last year’s high of $1,373. BNB has formed a major bearish pattern, points to more downside as key network statistics deteriorate.
Binance Coin Price at Risk as Key BSC Metrics Drop
The BNB price has slumped in the past few months, mirroring the performance of top tokens. This retreat may continue as third-party data shows that the network activity is deteriorating.
According to Nansen, the network’s active addresses dropped by 8.5% in the last 30 days to over 38 million. More data revealed that the network fees slumped by 83% to $13 million.
In contrast, Solana’s fees rose to over $26 million, while the active addresses jumped to over 115 million. Also, Ethereum’s active addresses rose to 14.2 million, while the fees rose to over $18 million.
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More data shows that the adjusted stablecoin transaction volume dropped to $193 billion. The number of transactions dropped to over 378 million, even as the supply rose to over $15 billion.
The BNB Chain’s role in the decentralized exchange (DEX) industry has waned in the past few months. Protocols in the network handled transactions worth over $46 billion, much lower than the $119 billion and $63 billion that Solana and Ethereum handled.
BNB Price Prediction: Technical Analysis
The daily timeframe chart shows that the BNB price has slumped in the past few months. It has dropped from a high of $1,373 in October to the current $627.
The coin has remained below all moving averages. Also, the Supertrend indicator is stuck in the red since January this year. Most importantly, it has formed a bearish pennant pattern, which is made up of a vertical line and a symmetrical triangle pattern.
Therefore, the most likely Binance Coin price forecast is bearish, with the next key target being the year-to-date low of $572. A move below that level will point to more downside, potentially to the psychological level at $500.
On the flip side, a move above the key resistance level at $660 will invalidate the bearish outlook.
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