Binance Coin (BNB) Technical Analysis: Binance Chain Launch Getting Close, BNB Breaks $20
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Latest Binance News
Binance has already had an incredibly busy Q2 so far and is looking to carry the momentum into the rest of 2019, with the launch of new platforms and projects.
In the last week alone, CEO and Co-Founder of Binance, Changpeng Zhao (CZ), has announced the controversial delisting of Bitcoin SV after legal threats were handed out by nChain’s Chief Scientist, Craig Wright, to anyone who called him a fraud.
On April 17, Binance completed their 7th quarterly coin burn which removed nearly 830,000 BNB tokens from the existing supply. This strategy ensures that demand for Binance’s native exchange token remains high and BNB holders are rewarded for investing in the platform.
Today, Binance has hinted that the first genesis block of the platform’s new native blockchain, Binance Chain, has been created which could go live soon.
The company is also looking to roll out its new fiat-crypto exchange in Singapore next week, as part of its Asian market expansion plan. To begin with, the platform will exclusively provide a Singapore dollar (SGD) to Bitcoin (BTC) on-ramp service but there has been talk of more trading pairs being added in the near future.
The hype is already beginning to build ahead of the Binance Chain launch after today’s suggestive twitter post. Right now BNB is up 5.62% against the US dollar and pulling ahead of Bitcoin with a 4.90% gain. With the coin burn removing a substantial portion of the coin’s supply, the price action has been able to breach the psychological $20 for the first time since January 2018.
Binance Coin Chart Analysis
On the 1W BNB/USDT chart we can see that the asset has run into a strong fibonacci resistance at the 0.786 level/ $20.71. This particular price point was the weekly close during Binance Coin’s all-time high rally back in January 2018.
This will be a big test for buyers, as a break above this level will push Binance Coin into largely uncharted waters.
Although we can clearly see that trading volume has been decreasing over the course of BNB’s explosive recovery off the bottom on December 2018, there are still a number of bullish signals over 1D candles that suggest the asset is likely to continue its upward trajectory.
- The 12MA has just bullishly converged over the 26 MA on the MACD indicator. Buying candles have also just appeared on the histogram.
- RSI is now spiking into the overbought region as buying momentum increases.
- Aroon Up line has spiked high above the Aroon Down line in the last 24hrs.
From this it is looking very likely that BNB will carry the new momentum above $21 soon and potentially go on to test the all-time high at $25 before May.
Binance Coin (BNB) Price Targets
All ROIs are calculated from the asset’s current value at $20.82 (AToW)
PT1: $23.50 (12.98%)
PT2: $26.20 (25.96%)
PT3: $28.00 (34.62%)