During the September market correction, the Binance coin price experienced a significant drop from a high of $234.8, culminating in a V-top reversal displayed on its daily chart. This slump effectively wiped out the gains acquired during the final week of August, dragging the coin’s value down by 13% to hit a low of $204. Yet, recent signs of buying momentum have steered the BNB price away from this support level. However, can this rebound cultivate a renewed bullish recovery?
Also Read: Data Signals Start Of Bitcoin And Crypto Market Rally
Wedge Breakout Will Trigger a Directional Rally
- A wedge pattern carries the current downtrend in BNB
- Crypto buyers may witness sufficient buying pressure at $204
- The intraday trading volume in the BNB coin is $353.4 Million, indicating a 0.93% loss
Source- Tradingview
Currently, BNB price is trading at the $211 mark, reflecting a modest intraday decline of 0.24%. This dip seems to have momentarily put the brakes on the bullish momentum that originated from the $204 support level, encountering resistance around the $215 mark.
Should the bullish sentiment continue, we could witness this altcoin’s value appreciate by another 4%, targeting the upper boundary of the falling wedge pattern that’s been influential for the past three months. Throughout this period, the coin’s value has bounced off the upper trendline thrice and similarly from the lower trendline, underscoring its significance to traders.
Hence, if the price approaches the upper boundary and faces stiff resistance, it could signal another correction and a continuation of the current downtrend.
Can BNB Price Reclaim the $250 mark?
Although the prevailing market sentiment keeps a bearish tone for the Binance coin, the aforementioned wedge pattern hints at a potential price reversal. If BNB manages to breach the upper trendline, it would provide the bulls with a robust platform, potentially propelling the coin toward the $250 target
- Exponential Moving Average (EMA): The daily 20-day and 50-day EMA act as dynamic resistances for BNB, especially during both minor and major price increases.
- Relative Strength Index (RSI): Despite a bullish recovery of $204 flat support, the daily RSI trend displays a pronounced rally, hinting at a growing buying interest at lower levels.
