Binance Coin (BNB) Technical Analysis: Back on Form, 1D Golden Crossover Close
Binance Coin is looking very strong in the market today, and it stands out as one of the best performers in the top-20 cryptos with a 6.43% gain against BTC.
Bullish momentum has been building behind this asset consistently now for over 38 days since it hit a bottom at 12,315 Sats and began tracking closely along an uptrending support level. Binance’s latest announcements, including the new Paxos stablecoin pairs and Binance Lab’s second incubation program for new blockchain ventures, appear to be helping sustain the current buying sentiment as BNB attempts to break out of a long-standing range. If candles are able to close above the key range resistance at 16,515 Sats, not only will it be the first time Binance Coin has broken this ground since August 2018, but it will also likely drive the 50 EMA over the 200 EMA to create a golden crossover on the 1D chart - which is widely regarded as a huge bullish signal.
On the 1D BNB/BTC chart, we can see that the BNB price action has been climbing inside of an ascending channel since November 24 (black dotted lines). Between December 4-6, the asset spiked over 35% as a new partnership with a hotel reservation website, Tripio, Binance’s quarterly buy-back event and the arrival of new stablecoins pumped trading volumes briefly before correcting back to the uptrending support level.
Over the last week, BNB has come up against a strong resistance at the 16,515 Sats level (blue dashed line) on two occasions and had little success in breaking through. This level has been a historically key support/ resistance for BNB as far back as January 2018, and has been responsible for holding the asset’s price down for the last five months.
If Binance Coin fails to test this resistance again today, then it is likely that the asset will return to the uptrending support and continue consolidating inside an ascending triangle pattern (see red triangle below), until enough bullish momentum regathers to attempt another breakout.
Judging by a wide range of indicators, however, it appears very likely that a bullish continuation will occur and that the 16,515 Sats resistance will be overcome shortly.
-The 12MA on the MACD indicator briefly touched down on to the 26MA but has now started to pull away again as buying momentum increases.
-On the RSI, the indicator line is currently at 63% and spiking high towards the oversold region.
-On the CMF, the indicator line is surging towards the zero line above as buying pressure also starts to spike.
Binance Coin (BNB) Price Targets
All ROIs are calculated from the asset’s current value at 16,689 Sats (now above the 16,515 Sats breakout line).
R1: 17,033 Sats (2.15% ROI)
R2: 17,641 Sats (5.80% ROI)
R3: 18,384 Sats (10.26% ROI)