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Binance Coin Price Prediction: BNB nurtures a V-shaped recovery with 10% gains in sight

  • Binance Coin price is up 7% after a critical support broke the 10% crash.
  • BNB could rise 10% as part of a V-shaped recovery rally.
  • The bullish thesis will be invalidated upon a break and close below $291.60

Binance Coin (BNB) price has been consolidating within a descending parallel channel after recording a local top around the $338.3. However, the BNB price found support, and now a recovery rally is in motion.

Also Read: Binance Coin price approaches critical mass, 18% move ahead for BNB

Binance Coin eyes possible 10% gains

Binance Coin (BNB) price is trading with a bullish bias, up nearly 7% after finding critical support due to the confluence between the 50-day Simple Moving Average (SMA) and the horizontal line at $291.60.

The Relative Strength Index (RSI) shows rising momentum, with a pending buy signal that will be activated once the RSI crosses above its signal line (yellow band).

Increased buying pressure could see the Binance Coin price extend the gains past the $220.00 level before reclaiming the $338.30 range high, last tested on December 28. Such a move would denote a 10% climb from current levels. In a highly bullish case, the gains could extrapolate for BNB price to reach the $360.00 psychological level

BNB/USDT 1-day chart

On the other hand, if profit taking kicks in after the 7% climb, the BNB price could lose all the ground covered, potentially retesting the confluence support. A break and close below $291.60 would invalidate the bullish thesis.

In the dire case, the downside could continue, with Binance Coin price testing the midline of the channel at $280.00. The worst possible case could see the altcoin extend the fall to the $260.30 level, 15% below current levels.

Author

Lockridge Okoth

Lockridge is a believer in the transformative power of crypto and the blockchain industry.

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