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Despite recent volatility, Binance Coin (BNB) appears to be showing resilience, with its price holding above $500 since September 11 and currently trading at $552.
With the market attention increasing, this analysis explores why BNB could be aiming for higher value in the near term.
Binance Coin Momentum Becomes Bullish
Based on the daily chart, Binance Coin’s Moving Average Convergence Divergence (MACD) indicator is in the positive zone. MACD measures momentum by evaluating the relationship between the 12-day EMA (blue) and the 26-day EMA (orange) to identify potential trend reversals.
Typically, when the 26-day EMA crosses below the 12-day EMA and the MACD crosses into negative territory, sellers take control and momentum becomes bearish, often leading to a price drop. History shows that in such situations, BNB often erases some of its previous gains.
However, in the current case, the 12-day EMA has crossed above the 26-day EMA, indicating that buyers are in control. This crossover signals that bullish momentum is building, and the price of BNB could rise further if the buying pressure continues.
Along with the MACD, the Chaikin Money Flow (CMF) indicator also supports a bullish outlook. The CMF measures the accumulation or distribution rate over a given period of time. When the CMF rises above the zero line, it shows that buying pressure is stronger than selling pressure, signaling bullish momentum.
Currently, the CMF on the BNB/USD daily chart has crossed the zero line, indicating that buyers are making efforts to push the cryptocurrency to higher values.
BNB Price Prediction: The Race To $625 Begins
On the same daily chart, BeInCrypto noticed the formation of a falling wedge — a bullish technical pattern. Typically, the wedge appears after the price has made a bearish swing high and followed by a bearish swing low.
However, as the resistance levels converge, sellers begin to lose momentum, and buyers take advantage of the fatigue. As buying pressure increases, the price of BNB could move higher from its current position.
Looking at the action, the coin seems certain to break the resistance at $574.60. For this to happen, buyers need to defend the support at $517.50. If successful, BNB could climb as high as $625 in the short term.
However, the forecast could be invalidated if BNB fails to break the resistance level. In that scenario, the coin could drop below the $517.50 support level.
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