The price of Binance Coin prepares for a new upward impulse but we can see that the BNB network activity has increased. Analysts covering the crypto news today say that bulls have yet to step in in order to make a difference.
Anyways, Binance Coin has been consolidating lately with a narrow trading range. Its price action has been mostly oriented near the $15 support level, and the $18 resistance over the past couple of months.
Technical charts show that the ongoing stagnation phase forced the Bollinger bands to squeeze the 1-day chart of BNB. The BNB network activity increased, but squeezes like these are indicative of periods of low volatility and are typically succeeded by wild price movements.
Knowing that the technical index does not provide a clear path for the direction of Binance Coin, the main area between the lower and upper band is a reasonable no-trade zone. Thereby, an increase in volume which allows a daily candlestick to close below or above the critical zone will also determine the future price of the token.
While the BNB network activity is solid, the price of the coin consolidated within a narrow trading range. It is only a matter of time before the support or resistance behind Binance Coin break, providing a clear signal of the direction of the new BNB trend in the Binance Coin news.
Still, the high levels of activity on the network Binance Coin is on also adds up to the optimistic outlook of the cryptocurrency. Despite the entire lackluster price action, the BNB network activity has been high over the past couple of weeks. According to data from Santiment, a bullish impulse may be in the works and the BNB daily addresses have entered an uptrend while the prices remain stagnant.
“This model is indicating that there may be a serious jump once markets start to roll again, with several spikes well over the +0.5 threshold over the past week. As one of the largest gainers and least impacted crashers after the end of the 2017 bull run, people may soon be reminded why Binance Coin generated so much hype two and a half years ago,” said Santiment.
Even though investors shifted their focus towards some small-cap coins (especially DeFi ones), Binance Coin has a serious potential to surge based on the growth of daily active addresses.
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