The Binance Coin (BNB) is looking strong on the technical chart, indicating a potential 20% increase in value ahead. The coin seems to be gearing up for positive movement, suggesting a possible upward trend in the near future.
While many alternative cryptocurrencies (altcoins) are experiencing downward pressure in the market, showing weakness on the weekly chart, Binance Coin (BNB) stands out. Despite initially underperforming in the altcoin market, BNB is currently displaying strength, indicating a potential turnaround.
Binance Coin: Head-and-Shoulders Pattern Signals Bullish Breakout
Crypto market analyst Ali Martinez suggests that Binance Coin (BNB) is possibly forming a head-and-shoulders pattern, indicating a potential bullish breakout. For this to materialize, a sustained close above the neckline at $261 is crucial, with the projected trajectory aiming for a target of $310 for $BNB.
Courtesy: Ali Charts
At present, BNB Coin is trading at $247, experiencing a 2.37% decrease, holding a market cap of $37.4 billion. The current value is $249, edging closer to reclaiming the significant psychological threshold of $250. However, buyers may encounter challenges around the $258 level, serving as a pivotal trend indicator for Binance.
Despite the dip, there are signs of a potential bullish breakthrough beyond the $258 mark as the market continues its recovery trend, offering the prospect of reaching $300. Traders are keeping a close eye on these critical levels, anticipating potential shifts in BNB’s trajectory.
Binance Coin Analysis: On-Chain Metrics Signal Sustained Uptrend
Examining three significant on-chain metrics—Volume, Social Dominance, and Open Interest in USD—suggests a promising continuation of the upward trajectory for Binance Coin (BNB) prices. Santiment data highlights that spikes in BNB volume correlate with local price peaks, notably observed between November 12 and December 12.
Courtesy: Santiment
The social dominance of BNB tends to rise alongside price increases, emphasizing the token’s significance and adoption among market participants. Over the past six months, this pattern has repeated, with social dominance showing an upward trend since December 5, 2023.
Open Interest (OI), a crucial metric indicating asset demand, has steadily increased since November 12, rising by nearly 31% in the past month. This growth suggests that recent BNB price gains are supported by heightened demand from new market participants.
Important: Please note that this article is only meant to provide information and should not be taken as legal, tax, investment, financial, or any other type of advice.
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