Binance Coin (BNB) has been mostly trading southwards after reaching an all-time high of $691.80 in May 2021. It also created a lower high in November 2021 and resumed its descent towards its June 2022 low of $183.
However, the price has increased since then and tapped the $225 level as a major support area.
BNB Price Analysis
Recently, the BNB token up-moved a hurdle at the overhead resistance at $338. The bears may now try to sink the price to the immediate support at the 20-day EMA ($306). If the price crosses this support, the buyers will make another attempt to push the BNB/USDT pair above the $335 to $350 resistance zone.
The upsloping 20-day EMA indicates that the path of least resistance is to the upside. This positive view could become invalid if the price falls below the 20-day EMA. If that happens, the short-term traders might exit and push BNB to the 50-day SMA ($266).
Interestingly, on July 29, BNB broke out from a descending resistance line that had been in place for 264 days. The weekly RSI has also surpassed its descending resistance line that has been in place since the all-time high. Such breakouts often indicate huge price spikes. Therefore, the price may shoot above the $335 level and accelerate after.
Wave count analysis
According to Crypto trader @XForceGlobal, BNB price has likely begun a long-term wave five, which could eventually take it to a new all-time high price.
The long-term count hints that BNB has just begun the fifth and final wave that began in December 2018. There are two main reasons for this wave count to be correct:
- The bottom of wave four occurred at a parallel channel combining the highs of waves one and three and pointed at the bottom of wave two.
- The decline since the all-time high is an A-B-C structure. From which waves A and C have a precisely similar 1:1 ratio.
So, if this wave count is correct, BNB could tap a new all-time high. A tentative target for this movement’s top is around $2,000.
What Might Trigger BNB Price
BNB Chain, a blockchain network led by crypto firm Binance, and Latin America-based education platform Platzi have announced the launch of a Web3 development course for the region. This development aims to push the broader adoption of blockchain technology and Web3 education in Latin America.
In addition, Crypto exchange Binance has been granted preliminary approval to offer digital assets services in Kazakhstan. The exchange is yet to complete the entire application process. Still, the development is a landmark achievement for the company in the Central Asian nation, which only recently took steps to regulate crypto trading.
