- Binance Coin price expected to face rejection at $600
- BNB faces resistance in establishing support above the $500 mark.
- The closest support level lies at $475 and further below at $450.
Binance Coin price has broken above the $500 mark and strong bullish momentum has carried the price to challenge the $600 mark. BNB records an over 50 percent price hike across the last seven days showing strong bullish dominance. However, the sharp bullish activity leaves room for a volatile price movement.
The broader cryptocurrency market enjoys a bullish sentiment across the last seven days with most major cryptocurrencies recording profits across the timeframe. Major player includes Ripple’s XRP, and Litecoin that record a 51 and a 20 percent increase respectively. Meanwhile Bitcoin and Ethereum record a 2.45 and a 3.00 percent hike.
Technical indicators for BNB/USDT
Across the technical indicators, the MACD shows strong bullish momentum as observed in the dark green histogram. The indicator did briefly dip into the bearish region yesterday but has grown bullish again. Across the EMAs, 12-EMA is trading above the 26-EMA and continues diverging while both EMAs rise.
The RSI is currently trading in the overbought region issuing a strong sell signal as the indicator trades above the 80.00 mark. The indicator has been trading in the overbought region for the last two days with the bullish momentum only slowing down in recent hours.
The Bollinger bands are currently wide and show further expansion as the price breaks above the ascending channel. The bands issue a sell signal but show high price volatility for the Binance Coin price in the short term.
Overall the 4-hour technical analysis issues a “strong” buy signal with 17 of the total 26 major technical indicators suggesting their support for a bullish movement. On the other hand, only two indicators issue sell signals suggesting a bearish retracement. Meanwhile, seven indicators sit on the fence issuing no support for either side of the market.
The 24-hour technical analysis shares this sentiment and also issues a “strong-buy” signal with 17 of the 26 indicators suggesting a bullish movement against only three indicators suggest a bearish retracement. Meanwhile, six indicators remain neutral and do not issue any signals at the time of writing.
What to expect from the Binance Coin price?
Traders should expect the Binance Coin price to continue rising albeit after a brief correction below the $600 mark. While the technical indicators remain strongly bullish, the recent spike in BNB causes the price action to become volatile. The RSI and the Bollinger bands reaffirm this suggestion and issue sell signals. As such BNB can be expected to spend few days around the $500 mark.
Conversely, the Binance Coin price may break above the $600 mark, however, that would make BNB even more unstable and cause a retracement below the $500 mark. The price action currently needs a strong support level to facilitate future movement.
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