Gains Network (GNS) Price Prediction

Deep Dive

1. Tokenomics & Burns (Bullish Impact)

Overview:
Gains Network shifted from distributing staking rewards to burning 90% of protocol fees in November 2024, reducing supply by 695,000 GNS (2.5% of total) in 30 days. The community is voting to extend this model, which historically correlated with a 60% price surge post-implementation (Gains Forum).

What this means:
Continued burns directly reduce sell pressure while enhancing scarcity. However, effectiveness hinges on trading activity – daily burns dropped to ~23,100 GNS (from 30,000+ in November 2024) as volumes declined. A sustained crypto bull market could reignite this mechanism.

2. Platform Adoption vs Rivals (Mixed Impact)

Overview:
gTrade’s v10 upgrade (August 2025) introduced fee discounts for GNS stakers and deeper liquidity. While daily active wallets grew to 450+ (vs 280 in 2024), GMX still dominates Arbitrum derivatives with 3x higher revenue.

What this means:
Recent integrations like Vooi’s 500x leverage markets (Eric) could attract traders, but GNS needs consistent volume growth to outpace GMX’s 42% YTD revenue lead. Fee discounts (up to 75% for stakers) may help retention.

3. Macro Pressures (Bearish Impact)

Overview:
Bitcoin’s 58.64% dominance and the Fear & Greed Index at 25 signal capital rotation away from altcoins. GNS’s 90-day correlation with ETH is 0.87, exposing it to broader DeFi weakness.

What this means:
Until crypto sentiment improves, GNS may struggle to decouple from sector-wide declines. However, its real-yield narrative could appeal if investors prioritize tokenomics over hype.

Conclusion

GNS’s fate hinges on balancing protocol upgrades with market conditions. The burn mechanism offers structural upside, but requires revived trading activity to maximize impact. Watch the 30-day burn rate and gTrade’s volume share versus GMX – a sustained break above 20% could signal bullish momentum.

Can GNS sustain deflationary momentum if crypto markets remain risk-averse?