Binance Smart Chain Q3 fees surge to $357 mln – Traders bet big on BNB!

Key Takeaways

Why is BNB rallying past $1k?

BNB’s strong on-chain activity and record app fees are driving real network demand, while flat profit-taking keeps FOMO alive.

Could the rally face a setback?

Another long squeeze is possible, but BNB’s steady on-chain engagement keeps deeper corrections in check.

If there’s one coin fueling pure FOMO, it’s Binance Coin [BNB]. 

This quarter, Binance Coin is closing in on Ethereum’s [ETH] Q3 80% gains, delivering a staggering 63.75% ROI. That makes it its strongest quarter since Q1 2024, with the price blasting past the $1,000 milestone.

Meanwhile, profit-taking is barely budging at $100 million, way below the $700 million peak that used to trigger dumps.

In short, FOMO’s still raging, and traders are sprinting for bigger bags, expecting even higher highs.

Source: CoinGlass

Backing this, BNB’s Open Interest (OI) just spiked to a record $2.58 billion.

The pattern is familiar: In BNB’s previous all-time highs, OI hit record levels as traders chased short-term gains. However, once profit-taking kicked in, liquidation cascades triggered sharp retraces.

Case in point: Late July, BNB hit $860 while OI hit $1.58 billion.

However, once realized profits spiked to $772 million (the highest since the election cycle) BNB dumped 11% in a week. So, is BNB gearing up for a repeat run?

BNB breaks $1k amid soaring on-chain activity

Profit-taking is looking unusually flat compared to previous BNB tops.

Meanwhile, on-chain activity is spiking, backing the strong Q3 ROI. Binance Coin’s app fees alone hit $357 million, marking a nearly 50% jump from last quarter. This surge implies real demand is driving activity.

Notably, the on-chain strength is translating directly into price action.

Since BNB’s late-July top at $860, the coin has carved out two higher lows, showing buyers stepping in on dips, the latest pushing a 16% weekly close.

Source: TradingView (BNB/USDT)

In essence, BNB closing in on ETH isn’t just about rotational flows. 

Instead, speculative and on-chain capital is flooding into BSC, with traders putting the chain to work. PancakeSwap is topping the charts, driving most of BSC’s Q3 activity and racking up the biggest fee haul.

Meanwhile, BNB traders are keeping profit-taking light. Against this backdrop, any long squeeze could be easily absorbed by the network’s liquidity, with capital actively flowing into real use cases on BSC.