- BNB maintains investor interest even as Bitcoin’s dominance surges in 2023.
- BNB’s potential growth looks robust, positioning it as a viable asset for the next significant market rally.
Even as Bitcoin’s (BTC) market dominance witnesses a consistent surge in 2023, certain altcoins like Binance Coin (BNB) are capturing investor attention. According to recent analysis by Santiment, a leading market intelligence platform, BNB exhibits potential for price fluctuations desirable to traders under the prevailing market conditions.
Understanding BNB’s Market Resilience
The analysis by Santiment placed Binance Smart Chain’s BNB among altcoins still garnering substantial attention, despite a decrease in BNB’s social dominance over the last three months. BNB’s social volume also significantly dipped in the second week of June. This decrease coincided with the spike in BTC dominance, indicating that even with lesser social activity, BNB was able to garner more attention than most other altcoins.
Interestingly, the evidence of BNB’s sustained interest over the past three weeks is distinctly visible in the uptick of hodling activity. The mean coin age for BNB has seen an upward trajectory since early June, reinforcing an increase in the number of traders hodling the asset.
Whale Activity and BNB’s Future
The Market Value to Realized Value (MVRV) ratio, indicating the market value compared to the realized value of an asset, saw a sudden surge at the end of June, reaching a new monthly high. This uptick in the MVRV ratio suggests increased profitability for BNB holders.
Despite the absence of a considerable spike in BNB’s volume during this period, the findings suggest whale activity as a potential reason for this trend. BNB’s price action has exhibited a healthy 13% bounce from its lowest price point over the last seven days to its highest, setting a promising trajectory for July, especially if more whale activity ensues.
Market indicators like the Relative Strength Index (RSI) and the Money Flow Index (MFI) showed increased liquidity flowing into BNB in the second week of June. As BNB is the native cryptocurrency of a major network like Binance Smart Chain (BSC), it is likely that BSC will be one of the most utilized networks in the next bull market, cementing BNB’s position as a promising asset, backed by substantial utility.