The Binance Coin price has resumed the rally this morning and is higher by 3% to $397.36 and again knocking on the door of the psychological $400 barrier. But whilst the progress is encouraging, the real test of the recovery comes at June’s high.
The last three weeks have seen a return to form for cryptocurrencies and what’s good for the market is certainly positive for the Binance Coin price. The coin which powers the Binance crypto exchange relies on a thriving market. The higher prices go, the more headlines they grab, increasing the appeal of cryptocurrencies to a broader market.
As a result, BNB has gained 56% in the last three weeks alone, adding a staggering $25 Billion to its market cap in the process. This ranks Binance Coin as the third-largest cryptocurrency behind Bitcoin and Ethereum. However, after a 43% rally over the last seven days, Cardano (ADA) is closing the gap, and may soon take the bronze. That being said, if the Binance Coin price scales resistance at $430, it could increase its lead.
BNB price forecast
The daily chart shows BNB has made encouraging progress and cleared the 50, 100 and 200-day moving averages, at $316.80, $364.45 and $335.25, respectively. Furthermore, over the last three weeks, the price action has formed a rising trend line at $336.00. The trend line reinforces the 200 DMA, making $335.00 a significant level of support.
However, horizontal resistance from the June high at $430 is a considerable obstacle for the bulls. Although, If Binance Coin manages to clear $430, it opens the door to May’s $704.62 high. Of course, this is very optimistic. However, the rate of collapse following the ATH has left very little in the way of technical resistance. The immediate bullish outlook remains valid as long as BNB maintains $335. Should that support fail, it would suggest the coin could head lower towards $250.