Binance's native BNB token has been showing strength on the technical chart and is poised to realize 20% of the potential space from now on.
Most altcoins have been underperforming on the weekly chart due to selling pressure on the broader altcoin market. However, Binance Coin (BNB), which has underperformed in the altcoin market, is now showing strength.
Binance Coin (BNB) leverage** 20%.
Crypto market analyst Ali Martinez said Binance Coin may be forming a head and shoulders pattern. If the price continues above the neckline at $261, there is potential for a bullish breakout, and BNB has a target of $310.
As of press time, BNB Coin shares** 237%,* for $247 and a market capitalization of $37.4 billion. Binance Coin (BNB) is currently trading at $249, hovering close to the psychologically important threshold of $250 to recover. Still, there are potential challenges to the $258 level, which is an important trend indicator for Binance.
As the market continues its recovery trend, there are further signs that the market could be bullish on a break above the $258 mark and potentially reach $300. Traders are keeping a close eye on these key levels for potential changes in the BNB trajectory.
A strong on-chain metric for BNB coin.
Based on three important on-chain metrics – trading volume, social dominance, and USD open interest – there are indications that Binance Coin's (BNB)** trajectory is likely to continue. According to Santiment data, an analysis of the BNB volume surge revealed a correlation with the asset's local top**. Notably, between November 12 and December 12, the increase in BNB trading volume coincided with the local ** peak.
As Santiment's chart shows, the social dominance of Binance's native token typically rises with BNB's. This pattern has emerged several times over the past six months, underscoring the relevance of the asset and the level of adoption by market participants. Since December 5, 2023, BNB's social dominance has also been on the rise.
Another key metric is Open Interest (OI), which is an indicator of the demand for an asset. Santiment data shows that OI has grown steadily since Nov. 12, up nearly 31% over the past month. This is a further indication that the near-term BNB may be supported by increased demand from new buyers entering the market.