BNB Surges as Dogecoin and XRP Cool Down...Open Interest Explodes 35%, Trading Volume 270%

▲ BNB/ChatGPT generated image

BNB, based on BNB Chain, is dominating Dogecoin (DOGE) and XRP in open interest and derivatives trading volume, indicating a rapid shift of funds in the major cryptocurrency market towards BNB.

According to U.Today, a cryptocurrency specialized media outlet, on May 31 (local time), traders are rapidly increasing their positions in BNB, the native token of the BNB Chain, with open interest growing by up to 35%. According to CoinGlass data, BNB's open interest increased by 35% to $1.43 billion in the last 24 hours.

BNB's open interest growth rate significantly outpaced major cryptocurrencies Dogecoin and XRP. During the same period, Dogecoin's open interest decreased by 0.01%, and XRP's decreased by 0.56%. The increase in open interest is interpreted as a sign of capital inflow into BNB-linked futures and perpetual contracts.

Derivatives market activity also shifted towards BNB. According to CoinGlass, BNB derivatives trading volume increased by 270% to $5.18 billion in the last 24 hours. In contrast, XRP derivatives trading volume decreased by 55% to $1.39 billion, and Dogecoin's decreased by 52.39% to $720 million.

BNB also outperformed major cryptocurrencies in price movement. At the time of writing, BNB recorded a 7.35% increase to $722 in the last 24 hours and a 10% increase on a weekly basis. During the same period, Bitcoin (BTC) and Ethereum (ETH) fell by approximately 5% weekly, making the performance difference between major assets even more pronounced.

Market interest also coincided with the launch of a spot exposure Exchange Traded Fund (ETF) for BNB in the US. VanEck launched a BNB spot exposure ETF, traded on Nasdaq under the ticker VBNB. U.Today reported that BNB's next trend movement could start with a closing price above $687 or below $570. An analysis suggests that if the closing price forms above $687, a new upward trend towards $730 and then $790 could begin.

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