During the start of September, Binance Coin had a significantly bullish rally which was uncorrelated to the rest of the market. It registered a local top at $33.83 but dropped down to $22 after a week. Now, with the market collectively moving towards a bullish scenario, the asset is finding it difficult to consolidate a position above $30. However, its short-term price chart indicated a re-test at a high over the next 24-48 hours.
Binance Coin 4-hour chart
Source: BNB/USD on Trading View
Binance Coin is currently 8th in the charts, and at press time, it has been part of a symmetrical triangle formation. Such a formation carries equal implication in terms of being a bullish or bearish trend, and right now, the momentum is slightly favoring the bulls. However, the token’s immediate resistance is being trusted by the 50-Moving Average, which was right above the last price candle. According to Fibonacci Retracement, the next resistance lied at $29.25, which can be considered at $30.
With the trading volume fading away out over the past week, the activity might be under the radar, but a drop in volume may also suggest a radical shift in trend when volumes are active again.
Reasoning
Source: BNB/USD on Trading View
Looking into market indicators, the trend is relatively bullish Relative Strength Index or RSI is indicating a rise where buyers are bringing back the momentum. Stochastic RSI indicated a similar sentiment with the price expected to rise over the next 24-hours.
However, Awesome Oscillator or AO continued to suggest a neutral trend with both the bulls and bears evading any significant momentum.
Important levels
Resistance: $29.5, $30
Support: $27.5
Entry: $27.5
Take Profit: $30
Stop Loss: $26.5
Conclusion
While the long-term trend is not conclusive at the moment, its short-term trend is indicative of a rise. While a re-test after the ascend might be a possibility, over the next 24-hours, a high is expected.
