Recently, Binance Coin [BNB], the native coin of BNB Chain, hit a swing low that hints at a potential upcoming rally within its medium to long-term range. However, to move upwards, it requires a surge in bullish momentum.
The latest announcement focuses on a strategic move that could trigger short-term momentum and potentially propel BNB beyond its current boundaries.
The network recently disclosed its intentions to introduce a restaking feature for BNB.
BNB restaking allows those who stake on DeFi platforms to restake their already staked BNB to earn additional rewards. This development is expected to incentivize more BNB staking within the community.
This move might result in a notable increase in Total Value Locked (TVL) in the upcoming months.
Since March, BNB Chain’s TVL has been on a downward trend, currently standing at $4.215 billion.
The introduction of BNB restaking could be a strategic move by BNB Chain to halt the outflow of TVL. During the peak of the March rally, the network’s TVL reached $5.8 billion.
This strategic decision aligns with the market sentiment which had been experiencing dwindling confidence in recent months.
The introduction of BNB restaking could potentially trigger a revitalization of TVL and promote increased BNB accumulation, consequently aiding in the coin’s potential upward trajectory.
These outcomes could become more prominent if there is an overall improvement in the cryptocurrency market conditions.
Transaction Count on BNB Chain Reflects…
BNB has witnessed a decrease in organic on-chain demand as the market cooled off over the past few months.
This decline in demand is evident in the drop in the BSC network’s transaction count between March and August.
Starting from August, BSC has observed a notable increase in network transactions.
On the 18th of August, the daily on-chain transactions had dropped to 2.59 million, but they have since rebounded, exceeding 3 million transactions currently.
In terms of price movement, BNB is trading at $512 at present, having slowed down from its recent bullish phase.
This slowdown occurred before the Relative Strength Index (RSI) could surpass the 50% mark, suggesting a weak start to the bullish trend.