The price of Binance Coin (BNB) has displayed resilience by not dipping below its previous low and instead is indicating a strong possibility of an upward trajectory. Following a period of downward movement, the native token of the Binance Smart Chain seems poised for a bounce back towards its previous high. To forecast the potential direction of BNB price movement, various indicators can be analyzed by examining the chart.
4-Hour MACD Indicator
Analyzing the Moving Average Convergence Divergence (MACD) indicator on the 4-hour timeframe reveals a bullish trend. The MACD histograms are trending above the zero line, and both the MACD line and Signal line have crossed and are heading towards the MACD zero line, indicating a bullish sentiment. This bullish trend is depicted in the chart.
The Relative Strength Index (RSI) also reinforces the upward movement as the RSI signal line is shown trending above the 50% level in the chart. This signifies that buyers are actively participating in the market, exerting dominance over sellers.
The 4-hour timeframe alligator indicator reveals that BNB is trading above the alligator lines. The alligator lip and teeth have both crossed above the alligator jaw, suggesting the initiation of a potential new rally in price.
Price Movement Analysis
At the time of writing, the BNB price had increased by 1.35% and was trading around $561 in the previous 24 hours. The price movement indicates bullish signs and the formation of a base above the $508.1 support level. Additionally, the price is currently trading above a bearish trend line but below the 100 Simple Moving Average (SMA) on the 4-hour chart.
From the recent downward movement, BNB has established a significant resistance level at $635 and a support level at $508. In its current movement, BNB is approaching the resistance level, and a breakthrough could lead to further price escalation. Conversely, failure to breach the resistance level may result in a reversal and downward movement towards the previous support level. Breaking below the support level could trigger a new downward trend in price.
Disclaimer
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