Will Binance Coin [BNB] Finally Breach Its Rangebound Trap?

The world’s leading cryptocurrency exchange, Binance’s native token Binance Coin or BNB has outperformed its peer altcoins in the latest rally as it breached several crucial levels along the way. Currently, the coin took a plunge following the market-wide pullback. Despite this, BNB continued to depict strong bullish momentum in terms of its price action as it climbed to pivot level.

Binance Coin [BNB] witnessed a minor decline of 0.38% over the last 24-hours while it recorded a value of $32.35. At the time of writing, the crypto-asset registered a market cap of $4.64 billion and a 24-hour trading volume of $522 million.

Binance Coin [BNB] Daily Chart:

The BNB price candles appeared to be oscillating between the converging trendlines of an ascending triangle pattern. The horizontal trendline resisted an upward breakout in the coming days while the upward sloping line potentially indicated that a period of consolidation in the short-term before a bullish breakout.

The moving averages aligned with the bulls. This was inferred from the 50 DMA [Pink] and the 100 DMA [Blue]which appeared to undergo a divergence after days of appearing to poise for a  bearish breakout. The gauge between the two flipped bullish as it increased mimicking the positive price movement of the coin.

The Bollinger Bands appeared to be diverging which demonstrated a period of volatility in Binance Coin’s [BNB] value. The coin was trading well below its resistance formed by the trendlines mentioned above. Hence, the movement of the bands indicated that the BNB could be heading for an uptrend in the short-term as the candle turned green.

Furthermore, the MACD also formed a strong buy signal after forming a bullish crossover well-above the zero-line. A move by the indicator into bullish territory can confirm that BNB was poised to make more gains in the near-term.

The RSI was also above the 50-median line suggesting a sentiment of high buying pressure among the investors in the Binance Coin [BNB] market.

Bulls have been attempting to push the price higher as the bears continued to defend a critical resistance of $34.32. According to the above charts, a breach of this point appeared to be unlikely in the short-term. But if this level is breached, Binance Coin [BNB] could eye other resistance points at $35.71 and $38.86 respectively.

Its support levels, on the other hand, were found to be at $29.38 and $28.92.

Chayanika Deka: Chayanika is a full-time journalist at TronWeekly with over two years of experience. A graduate in Political Science and Journalism, she focuses on the political and financial impact of cryptocurrency and blockchain developments.