BNB Price Forecast: These Two Crucial Levels Could Determine Binance Coin Future

Last Updated July 23rd 2021
2 Min Read
  • BNB price is trading between a confluence resistance (100 SMA) and support (50 SM).
    • A daily close above $300 could see Binance Coin enter the weekend in the green with eyes gazing at $400.

    Binance Coin is trading slightly in the green based on data by CoinGecko. At the beginning of the week, the selloff saw BNB retest support at $290 before a reflex recovery occurred. After the position above $300 was restored, bulls shifted the focus to $400.

    However, the 100 Simple Moving Average (SMA) presented a barrier that cut short the recovery at $330. BNB trades at $311 amid a battle by the bears to push the price under $300.

    BNB Price Upholds Up-trending Market

    Despite the cryptocurrency market's downtrend, Binance Coin seems to be working on sustaining a recovery in an ascending parallel pattern. As mentioned, the downside is protected by a confluence formed by the 50 Simple Moving Average (SMA) and the channel's lower edge on the four-hour chart.

    On the other hand, the immediate upside is limited by the 100 SMA and the channel's middle boundary. If these two levels remain unbroken, Binance Coin will assume a consolidation period.

    However, the Moving Average Convergence Divergence (MACD) indicator ascertains that the trend favours the bullish camp. Keep in mind that the MACD follows BNB's trend and calculates the momentum. In so doing, bullish or bearish signals are sent and sometimes affirmed.

    The MACD on the 12-hour chart holds at the mean line (0.00) in the wake of lifting from the area around -25. A signal to buy Binance coin will appear as the 12-day exponential moving average (EMA) crosses above the 26-day EMA. Similarly, the uptrend will be reinforced when the MACD bounces off the mean line to tackle levels within the positive region.

    BNB/USD 12-hour chart

     bnb/usd 12-hour chart 071521

    Looking The Other Side Of The Fence

    Binance Coin's much-anticipated uptrend may be invalidated if the TD Sequential indicator presents a sell signal in the next 12 or 24 hours. The call to sell will manifest in a green nine candlestick.

    BNB/USD 12-hour chart

    bnb/usd 12-hour chart 071521

    If confirmed, overhead pressure at the 100 SMA will likely surge while the bulls' aggressiveness dwindles. A daily close below $300 could also call more sellers into the market amid panic from investors. If support at $290 fails to hold, Binance Coin will extend the breakdown to $265 and $225, respectively.