Binance Price Forecast: BNB Explodes as Bulls Set Eyes on $1,000

Daily Binance Coin BNB Technical Analysis

Last Updated July 23rd 2021
2 Min Read
  • Binance Coin goes ballistic hits new all-time highs while heading to $1,000.
  • BNB’s least resistance path is north, as shown by the MACD on the four-hour chart.
  • Binance Coin is hugely overbought, hinting at a possible correction in the near term.
  • Binance Coin rally seems unstoppable at the time of writing. The prediction we made last week at $450 was quite conservative as the exchange-based token hit highs past $500. A new all-time high has been formed at $567, but it appears that Binance Coin bulls are not going to rest until they hit $1,000.

    Binance Coin Rally Steadies

    The short-term technical analysis shows that Binance Coin is not about to slow down the launch to the moon. The Moving Average Convergence Divergence (MACD) clearly shows that buyers control.

    For instance, the MACD line (blue) has since April 8, sustained the position above the signal line. It is worth noting that this indicator does not point out whether an asset is overbought or oversold. However, when properly executed, it reveals positions to buy the dip or sell the top. Meanwhile, the prevailing bullish outlook does not seem to fizzle out in the near term.

    BNB/USD Four-Hour Chart

    A break above $600 may trigger massive buy orders, creating a more robust tailwind to propel Binance Coin toward $1,000. The least resistance path seems upward, and the trend might continue in favor of the bulls based on the gap made by the Simple Moving Average (SMA) above the 200 SMA on the four-hour chart.

    Looking at the Other Side of the Fence

    The Relative Strength Index (RSI) has been on an upward roll, to the extent of crossing into the overbought region. At the time of writing, the RSI on the four-hour chart holds at 85 and seems persistent with the move north.

    BNB/USD Four-Hour Chart

    Nonetheless, traders must be alert due to the overbought conditions. In other words, a correction could take place, especially if Binance Coin closes the day under $600. On the downside, we expect support at $500, the 50 SMA and $300.

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