Binance Coin Price Forecast: BNB coils up before 15% rally
- Binance Coin price is in a pullback after overcoming $220, a key hurdle.
- BNB is likely to provide an opportunity for sidelined buyers to accumulate at around $220.
- A bounce off this level has the potential to trigger a 15% upswing and tag $253.
- Invalidation of the bullish thesis will occur on the breakdown of the $212 support level.
Binance Coin (BNB) price has successfully breached its ongoing consolidation. If this momentum is maintained, BNB could extend its uptrend and revisit key hurdles.
Also read: Binance challenges CFTC lawsuit again with bid for dismissal as another key executive departs
Binance Coin price ready to move higher
Binance Coin (BNB) price consolidated between the $200 to $220 range for roughly three months, with an occasional revisit of the $228 hurdle. The recent spike in buying pressure has pushed BNB from $210 to a local top of $238 between October 19 and 24.
As investors began booking profits on this rally, Binance Coin price retraced nearly 7% and currently exchanges hands at $226. Going forward, this pullback is likely going to steepen, allowing BNB to retest the $220 support floor while the Relative Strength Index (RSI) tags the 50 mean level.
This development will allow bullish momentum to replenish and provide sidelined buyers an opportunity to accumulate. As a result, Binance Coin price is likely to kick-start its ascent to overcome the $228 resistance level and tag the $253 hurdle.
In total, this move would constitute a 15% gain. The upside is for now capped at ths mentioned $253.
Read more: Binance sees continued regulatory troubles, prompting French head to quit
BNB/USDT 1-day chart
While the bullish outlook for Binance Coin price is in line with the current market conditions, a sudden spike in selling pressure could prove fatal for bulls. A sell-off that pushes BNB below $220 could threaten a retest of the critical support floor of $212.
A daily candlestick close below this level will invalidate the bullish thesis for Binance Coin price. In such a case, BNB could drop 5% and revisit the October 9 swing low of $202.
Read more: Binance halts accepting new customers in UK amid FCA row with financial promoter
Author
Akash Girimath
FXStreet
Akash Girimath is a Mechanical Engineer interested in the chaos of the financial markets. Trying to make sense of this convoluted yet fascinating space, he switched his engineering job to become a crypto reporter and analyst.
