The BNB price has moved into a correction after falling by 18% from its highest point this year. Binance Coin token was trading at $1,120, up from this month’s low of $890. So, is the BNB token a good buy as its transactions jump.
BNB Price Supported by Soaring Transactions
The Binance Coin price has jumped by 120% from its lowest point this year. This surge happened after the developers implemented three upgrades – Pascal, Lorentz, and Maxwell – that boosted its performance.
The most recent data shows that the upgrades are starting to bear fruit. For example, the BNB price has jumped to a record high this year and is one of the best-performing tokens in the crypto industry.
Another metric shows that the number of transactions on the BNB Chain has soared by 120% in the last 30 days to over 537 million. This growth has translated to a surge in fees in the network.
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Fees jumped by 392% in the last 30 days to over $66.65 million, while active addresses rose by 5% to 37.8 million. The rising fees in the network is important as the network burns most of the fees.
Data shows that the real-time burn jumped to $1.5 million in the last seven days, bringing the total amount burned since inception to over $308 million.
BNB tokens worth over $1.2 billion will be incinerated soon, and approximately $1.4 billion will be burned in the next quarter. The developers hope that the number of BNB tokens in circulation will drop to 100 million over time. This makes it one of the top deflationary tokens in the crypto industry.
BSC’s decentralized finance ecosystem is also thriving, with the total value locked (TVL) rising by 5% in the last 30 days to over $12.3 billion. Its bridged TVL has soared to $52 billion.
Binance Coin Price Technical Analysis
The daily chart shows that the BNB price has staged a strong comeback in the past few months. It has jumped from a low of $500 in March to a record high of $1,375.
Binance Coin price has remained above the 50-day and 100-day Exponential Moving Averages (EMA). It remains between the 38.2% and 23.6% Fibonacci Retracement level.
The risk, however, is that the coin has formed a double-top pattern and the Supertrend indicator has turned red. Therefore, the token may remain highly volatile this week, and even resume the downtrend.
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