BNB (formerly Binance Coin) eased almost 2% by Tuesday’s close, failing to hold the key $1,000 level. Both derivatives and on-chain metrics point to weakening demand: futures open interest has fallen, and transaction volumes on BNB Chain are down. Technically, the outlook has turned bearish as sellers reclaim control, extending the late-October bearish-flag breakout.
On-chain activity on BNB Chain has also cooled sharply. According to BscScan, daily transactions plunged to 16.59 million on Monday from a peak of 31.30 million on October 8, underscoring the drop in retail and network demand.
BNB Chain’s daily transaction chart from BscScan shows a clear downward trend. Likewise, BNB futures open interest is also falling, suggesting traders are cutting back on exposure. CoinGlass data reports a 2.39% drop in open interest over the past 24 hours, bringing it to $1.41 billion.
CoinGlass data on BNB derivatives underline a more cautious outlook. The open-interest-weighted funding rate has turned negative—now at –0.0100% versus 0.0051% earlier—as BNB retreats from the $1,000 mark. This shift indicates bears are in control, paying a premium to maintain short positions.
Technical outlook: BNB risks further correction below $850
On the 4-hour chart, BNB has extended its reversal from a resistance trendline near $1,000, drawn through the October 13 and 27 highs. Bears are now eyeing the September 26 low at $932, which opens the way for a retest of last week’s trough at $880. Additionally, the late-October bearish-flag breakout projects down to a $819 target, measured by subtracting the flag’s height from the breakout candle.
On the BNB/USDT 4-hour chart, a clear close back above $1,000 would confirm the breakout of the downtrend line. In that scenario, the rally could extend toward the 200-period EMA at about $1,053 and, if momentum holds, push on to the October 27 peak near $1,182.
