- BNB Chain’s revenue witnessed a decline following an impressive quarter-over-quarter surge, despite its efforts to support innovative dApps.
- BNB Coin’s weighted sentiment turned negative, indicating potential challenges for price recovery, while social dominance declined.
As per the latest data, the revenue for the BNB Chain has fallen just after it announced an impressive hike Quarter-over-Quarter. BNB Chian is the blockchain network supporting decentralized applications (dApps) and smart contracts. As recently reported by Crypto News Flash, the BNB Chain is looking to incubate three innovative dApps.
One shall not confuse the BNB Chain with the BNB Coin, which is the native cryptocurrency of the crypto exchange Binance. As per data from Artemis, the BNB Chain recorded a revenue of $62,500 on the 15th of April. This is the lowest revenue figure that the chain has recorded ever since February.
The principal source of BNB Chain’s revenue has been the transaction fee. Although the fees vary based on the volume of the chain, any surge in demand for the BNB Coin would trigger a surge in revenue.
Hence, the recent downturn may be attributed to reduced activity observed on the decentralized protocol. Additionally, the decentralized exchange (DEX) volume provided evidence of this decline, as it fell below $1.5 billion.
Throughout most of March, trading volume consistently exceeded $2 billion at various intervals. Regarding Binance Coin’s price, CoinMarketCap data indicated a 6.72% decline in the last 24 hours.
This decline reflects the bearish market sentiment and waning demand for the coin. Should BNB’s price continue to decline, it could pose challenges for the chain to maintain revenue growth.
However, if prices rebound, BNB Chain may have an opportunity to sustain revenue levels similar to those seen in March.
BNB Coin weighted Sentiment Turns Negative
Meanwhile, on-chain metrics revealed a negative Weighted Sentiment surrounding the cryptocurrency. If the reading ascends into positive territory, there’s potential for BNB’s price to initiate a recovery. Conversely, a failure to breach into the green zone could challenge the bullish bias.
Regarding social dominance, Santiment data indicated a decline in the reading. An uptick in social dominance typically signals increased popularity of BNB among traders, potentially nearing a local peak. However, the decrease suggests diminished discussion surrounding the coin compared to others in the top 100. Consequently, Binance Coin may be approaching its bottom.
In the past, this situation has presented a chance for buyers to enter the market. Nonetheless, recent days have seen significant volatility. As a result, traders may prefer to wait for a period of stability to avoid unexpected fluctuations.
Looking ahead, there’s a possibility of BNB’s price rising, potentially leading to an uptick in revenue as well. However, the realization of this forecast largely hinges on the overall market movement.
