TLDR
BNB price surpassed $600 for the first time since September 29, 2023
Technical analysis shows potential for BNB to reach $800, a 35% increase
Derivative traders show bullish sentiment on BNB in short to mid-term
BNB price has support at $580, with secondary support at $550
At $800, BNB’s market cap would be close to Tether’s $119 billion
The cryptocurrency market has seen a notable development as Binance Coin (BNB) recently broke through the $600 price level, a milestone not achieved since late September 2023.
This surge has caught the attention of traders and analysts alike, with many speculating on the potential for further growth.
As of the latest data, BNB is trading at approximately $601, marking a 1.6% increase over the past 24 hours.
This price movement has placed BNB among the top 20 gainers in the cryptocurrency market, showcasing its resilience in a landscape increasingly dominated by meme coins.
Technical analysis of BNB’s price action reveals an ascending triangle pattern, typically considered a bullish indicator.
This pattern suggests ongoing accumulation and the possibility of a breakout above the horizontal resistance level.
The current price hovers just below a significant resistance zone between $605 and $620, which has been tested multiple times without a definitive breakthrough.
Should BNB successfully break above this resistance, some analysts project a potential 35% gain, setting a target of $800 or higher as the next major resistance level.
BNB Price on CoinGecko
This projection aligns with the measured move expected from the triangle breakout pattern observed in the charts.
The Relative Strength Index (RSI), a momentum indicator, currently sits at 66.72, approaching but not yet reaching overbought territory.
This suggests there may be room for further upward movement, though traders are advised to exercise caution as the price nears key resistance levels.
Market sentiment surrounding BNB remains largely positive, as evidenced by data from derivative trading platforms.
According to Coinglass, there is a slight imbalance favoring long positions over short positions, with $22.30 million in longs versus $21 million in shorts on a daily timeframe.
This disparity becomes more pronounced when looking at weekly data, showing $64.98 million in longs compared to $34.04 million in shorts.
The Crypto Derivatives Visual Screener (CDVS), which tracks changes in asset price and open interest to determine trader sentiment, indicates that traders are entering long positions on BNB.
This data suggests the possibility of increased buying pressure in the near future, potentially driving the BNB price above the $620 resistance level.
If BNB were to reach the projected $800 price point, its market capitalization would rise to approximately $116 billion.
This would position BNB just $3 billion shy of Tether’s market cap, currently standing at $119 billion, potentially reshuffling the rankings of top cryptocurrencies by market capitalization.
The post BNB Surpasses $600: Analysis Points to Potential $800 Target appeared first on Blockonomi.