Binance Coin (BNB) Prepares To Make A Breakout Above $330August 26, 2022
In 2022, the crypto market has been in a constant decline. Top digital currencies have dropped as major participants continued to leave the market.
Meanwhile, following a rising support line, Binance Coin is moving into the $330 resistance region and may be trying to break out once more. Since June 18th, when BNB hit a low of about $183.40, it has been climbing.
On July 29th, the upward trend brought about a breakaway from a declining resistance line. Moreover, the line was in place for over 264 days when the breakout occurred.
Such long-term formations that break generally result in a steady upward trend. This was not the situation in this case either, as the price fell following the breakthrough.
BNB Must Overcome Resistance At $330 To Climb Higher
The daily RSI, which has deviated from an upward support line, cannot support the validity of the breakout either. However, it is presently attempting to go over 50, which is a scenario that would be viewed as bullish.
The price movement and indicator signals both show conflicting signals in the daily timeframe.
BNB/USD Chart Source: TradingView
The key resistance level, as shown by a detailed examination of the daily trend, is $330. The resistant region has thus far triggered three rejections.
BNB is now nearing the region again while following an upward support line. This is perhaps another effort to break out.
Price movement toward the next barrier at $400 would be anticipated following a breach over the $330 region. On the other hand, a decline below the sloping support line could suggest that fresh lows would come next.
BNB Hit New ATH Of ₿0.0142 On August 22nd
Whatever the case, the market would need more bulls to push prices above the $330 resistance in the coming days. If it fails to surpass the resistance, the price could drop to the next support level.
Meanwhile, the news account on Twitter, @BSC_Daily, posted a chart recently. The chart showed that BNB had attained a new ATH relative to Bitcoin.
On August 22nd, BNB hit an ATH of ₿0.0142. The 1.61 outer Fib retracement resistance mark, located at ₿0.0157, would serve as the next barrier if the upward momentum continues. BNB’s price will likely get there.
Meanwhile, the weekly RSI has a developing bearish divergence. It is therefore feasible for the market to make a temporary high there and then start a downward trend if the dispersion is not refuted by the moment BNB reaches the barrier, which appears improbable.