BNB’s “mindshare” has surged by over 250% in just a week, according to Messari, with analysts pointing to a market shift towards high-throughput, low-cost chains.
The native token of BNB Chain surpassed $1,330 for the first time on Wednesday, registering a gain of over 27% in the past week, as per data aggregator CoinGecko, nearly a week after reaching its prior high of $1,111.
Crypto market intelligence firm Messari reported in a post on X that BNB’s mindshare, which reflects public attention and discussion, has seen a 251% increase to 5.09% in the last week, coinciding with a “very bullish sentiment” in price gains.
In an interview with Cointelegraph, analyst Rachael Lucas from Australian cryptocurrency exchange BTC Markets noted that BNB’s sentiment surge is likely tied to a market focus shift towards high-throughput, low-cost chains with active ecosystems.
The token terminal shows BNB Chain fees averaging $0.46, and an upgrade to increase the gas limit to 100 million per second while reducing block time to 750 milliseconds went live on Tuesday, compared to the previous 3-second block time and 47 million gas limit per second.
Memecoins and market cap shift attract investor interest
Two key developments regarding BNB in the past week have been its rising market capitalization and increasing interest in memecoins.
The token’s market capitalization was around $140 billion on Oct. 1 and climbed to a peak over $183 billion on Wednesday, establishing itself as the third-largest cryptocurrency by market cap.
“The recent surpassing of XRP and Tether in market cap highlights growing investor confidence in BNB’s long-term positioning,” Lucas remarked.
Traders have also been making significant profits from small-cap memecoins on the BNB Chain this past week, with many prioritizing BNB-native memecoins over others.
“The memecoin boom has increased retail engagement, while innovations such as onchain access to macroeconomic data are drawing DeFi developers.”
Ecosystem growth and institutional interest also contribute
BNB announced a $1 billion builder fund on Wednesday intended to support developers working on projects related to artificial intelligence, trading, wallets, and payments.
Lucas stated that such initiatives “demonstrate a strong commitment to developer growth, while a surge in memecoin trading has propelled BNB Chain’s network fees and usage to new heights.”
BNB Chain leads the market in DEX volume, with over $6 billion recorded and $5.57 million in chain fees, according to blockchain analytics platform Lookonchain.
“Institutional interest, such as CEA Industries’ treasury allocation, lends further credibility. Although short-term technicals may suggest BNB is overbought, the underlying fundamentals, including real utility and growing developer traction, provide a solid foundation,” Lucas added.
BNB launched its Maxwell upgrade in June, targeting faster blocks among other improvements, and the Lorentz Hard Fork in April, which introduced reduced block times and enhanced validator networking.
User metrics have also risen
The blockchain’s total locked value has been consistently increasing, reaching $9.26 billion, while the number of active addresses spiked to 73.24 million last month, marking the highest recorded level.
Related: ‘Diamond hand’ investor turns $1K into $1M as BNB exceeds $1,000
“BNB’s outperformance amid overall market softness indicates a shift of capital into ecosystems demonstrating real usage and growth,” Lucas said.
“While comparisons to previous cycles should be approached with caution, BNB’s fundamentals, beyond price action, are driving this momentum.”
Magazine: Bitcoin is predicted to see ‘one more big thrust’ to $150K, with pressure building on ETH.
