This piece is a continuation of our series analyzing top altcoins listed on the Midas platform. Today we will be taking a look at BNB – the third largest (non-stablecoin) crypto after BTC and ETH. At the time of writing, BNB is trading around $300.
BNB Price Analysis
The 4H candle chart gives us an idea of how BNB has performed in the short term, and understanding the TA from this viewpoint will help us predict short-term trends. In the chart above are three moving averages, the 50, 100, and 200 SMAs. The 50SMA has fallen below the 100 and is moving down toward the 200 SMA. BNB has been consolidating between these two, forming a wedge pattern. Currently, the bottom of the wedge is at $297 and the top is at $298 – making it a very tight zone. It is important to see which way BNB breaks out in the next couple of days.
Just last week BNB broke below the 200SMA but has rebounded strongly. If we see a price breakdown from here, it is likely that BNB will find short-term support near the $280 level once again.
The RSI is neutral, but Stochastic is moving toward an oversold level. In the very short term, we could see a dip, followed by a strong bounce.
On the daily candle chart, the moving averages are just breaking into neutral territory. The price has risen above the 50 and 100 SMA’s, but rejected off the 200 SMA – cementing it as a resistance zone at $330. Support is at the 50SMA, also priced at $280, solidifying this as a support.
Daily RSI and Stochastic are both in a neutral zone, giving no clear indication of momentum.
Long-term moving averages remain in a bullish configuration. BNB recently rejected off the weekly 100SMA, which will act as resistance – currently priced at $320. Long-term support is at the 200 SMA, currently priced at $170. This zone could be the bottom for a continued bear market, should the $280 support fail.
On the weekly, RSI is neutral but the Stochastic has reached the top of its range – suggesting that a period of consolidation and/or a pullback is necessary for upward momentum to continue.
BNB’s technicals look neutral on short and daily timeframes, and slightly bearish on a long time frame after rejecting off the weekly 100 SMA and having overbought momentum. Support zones are in the $280 range, with strong support at the $170 level. Resistance is $320-330 range.