- Binance Coin price is close to overcoming the EMA cluster resistance, around $215.
- Beyond this level, BNB will face two more resistance levels at $220 and $228.
- A reclaim of the $228 hurdle could potentially kickstart a rally to $252.
- A daily candlestick close below $206.5 will invalidate the bullish thesis.
Binance Coin (BNB) price has been in a tight consolidation for nearly six weeks. But the range tightening could end soon, potentially allowing bulls to take over and attempt to flip multiple hurdles standing in their way.
Binance Coin price needs to struggle more
Binance Coin (BNB) price has produced three higher lows since August 22, leaving sell-side liquidity below it. BNB currently trades around $215, where it needs to overcome the 15-day, 25-day and 30-day Exponential Moving Averages (EMA), which converge around $215 as well.
An uptick in buying pressure that propels BNB to overcome the EMA cluster will open Binance Coin price to target two critical resistance levels – $220 and $228. These two barriers were selling climax points on June 12 and 10, respectively.
Overcoming the $228 level will give bulls free rein up to the next key hurdle at $252. But investors need to be aware of the four-hour 200-day EMA, which is likely to pose a strong resistance. Investors that open long positions should consider booking profits when Binance Coin price encounters this hurdle.
BNB/USDT 1-day chart
The outlook for Binance Coin price is bullish and is contingent on the reclaim of the $228 level. But a failure to push higher would indicate that the buyers are not ready. In such a case, BNB could slide lower due to panic selling.
If this move knocks Binance Coin price to produce a daily candlestick close below $206.5, it will create a lower low and invalidate the bullish thesis. This development could see BNB collect liquidity resting below the swing lows formed around the $203 level.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.