Will BNB post another bull rally? Here are the odds

  • BNB’s Ichimoku cloud hinted at a possible bull rally on the coin’s monthly chart. 
  • Technical indicators in the short term remained bearish. 

Like most cryptos, Binance Coin [BNB] witnessed a major price correction in the last 24 hours. However, if an indicator is to be believed, investors might witness BNB’s daily chart turning bullish soon. 

BNB on a rollercoaster ride

According to CoinMarketCap, BNB’s price has risen by more than 8% in the last seven days. But the last 24 hours were disastrous, as the coin’s value plummeted by over 7%.

At the time of writing, BNB was trading at $572.94 with a market capitalization of over $85 billion, making it the fourth-largest crypto.

Though this looked bearish, Ichimoku Cloud, a technical indicator, displayed a crossover.

For the uninitiated, the Ichimoku cloud is a collection of technical indicators that show support and resistance levels along with trend directions.

As the cloud (crossover) forms in the direction of the last candlestick, it gives off a bullish notion.

At press time, the indicator suggested a strong bullish move over the coming months that could help the coin reach new highs.

BNBUSDT 2024 03 17 15 43 50

Source: TradingView

What to expect in the short term? 

Since things in the long term looked optimistic, AMBCrypto checked BNB’s press time state to see what to expect in the near term.

Our analysis of Santiment’s data revealed that BNB’s Open Interest had dropped at press time. This indicated that there were chances of a trend reversal.

The altcoin’s Funding Rate had also dropped, meaning that Futures investors were not actively buying the coin at press time. 

BNB's funding rate and open interest droppedBNB's funding rate and open interest dropped

Source: Santiment

However, technical indicators remained bearish. Notably, the Relative Strength Index (RSI) registered a downtick. The Money Flow Index (MFI) also declined, showing chances of a continued price decline. 

BNBUSDT 2024 03 17 15 49 23BNBUSDT 2024 03 17 15 49 23

Source: TradingView

Network activity is high

While the coin’s price moved in both directions, the blockchain’s network activity remained high.

AMBCryto’s analysis of Artemis’ data revealed that the Binance network’s daily active addresses went up during the last month. As a result, the blockchain’s daily transactions also remained relatively high. 

BNB's network activity is highBNB's network activity is high

Source: Artemis

It was interesting to note that BNB Chain’s GameFi ecosystem was also growing. Dune’s’ data pointed out that the number of BNB Chain GameFi users spiked in January and February.

The number of returning users also remained high, reflecting high adoption and usage. 

Screenshot 2024 03 17 at 3.53.01 PMScreenshot 2024 03 17 at 3.53.01 PM

Source: Dune

Read Binance Coin’s [BNB] Price Prediction 2024-25

Things might get even better for the blockchain’s GameFi ecosystem, thanks to a new integration. BNB Chain recently announced that the blockchain has onboarded Gamehash AI.

The new collaboration might help attract new users and allow the blockchain’s GameFi space to flourish. 

Next: Can Cardano [ADA] rise to $1.70? Take notes, traders

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