Binance Coin had a good first half of 2021. BNB, which was traded around $ 40 in December 2020, managed to reach record levels with $ 693 in May. This represents a 1,500% jump in just 5 months. During its meteoric rise, BNB has consistently managed to hold itself in the top 5 rankings. The crash on May 19 may have stopped BNB’s upward trajectory, but the price has been steadily recovering since the pullback.
4-hour Binance Coin (BNB) price chart
While the rapid buying phase on May 2 pushed Binance Coin towards $420, eventually selling pressure broke out and dragged the cryptocurrency to a monthly low of $210. This has resulted in the emergence of a demand zone as BNB begins its recovery path. Although BNB is not immune to regular market corrections, it has managed to find support at higher levels such as $290, $370 and $390. The lower sloping trendline showed the price forming higher lows, which is seen as a positive development. There is also an ascending triangle formed with the upper trendline representing the resistance between $420 and $430.
Binance Coin is trading inside an ascending triangle. This is a pattern that often sees an upside break. OBV’s high lows indicate that buying volume has been on the rise for the past two weeks. The MACD is also approaching a bullish crossover, showing diminishing bearish momentum.
The uptrend of the RSI is also confirmed by the price action of BNB. While these are not signs of a sudden price swing, they do show that the bulls have taken control and are preparing for the next turnaround. An important area to cross is around $430. This area provided support for BNB’s sharp pullback in mid-April and even triggered a 25% rally soon after. The same line was emphasized many times after the May 19 collapse. A successful break could open the doors for a 20% increase towards $500.
Since May 19, we have been seeing a bullish story in the Binance Coin market. The overhead resistance between $420 and $430 was tested multiple times as the price formed higher lows. An ascending triangle pattern formed in the process and techniques favored an upside break. He says traders can exit their positions when BNB approaches $500, an area that coincides with the 50-SMA on a higher time frame (daily chart).