Binance Coin took shape inside a bearish climbing wedge as the dust somewhat settled within the altcoin space. The end of the constricted phase might lead to a swift move in either direction. Let us dig dip.
With the alt breaching the Bollinger bands’ basis line, BNB buyers confirmed control over the gradual upticks. However, the weak indications from technicals mean buyers should amount massive volumes to negate the selling strength. While writing these lines, Binance Coin traded at $315.9, dropping 2.97% within the past 24 hours.
Binance Coin Daily Timeframe
Binance Coin created a climbing wedge on the 4hr chart following a bounce back from the support at $268. Now, the action has two possibilities. Another downward move will emerge if the setup serves as a downtrend continuation. A bearish result would see the altcoin targeting a Point of Control test before potential pulldowns.
Meanwhile, bears should ensure a closing beneath the wedge’s lower trend-line to confirm this outcome. As the Bollinger Bands looks to stop ongoing volatility, a possible drop might dip into a squeeze period in the upcoming sessions.
Meanwhile, buyers have chances to join around the support at $307. That might come from the token’s latest higher troughs streak. An upside breakout would take BNB towards $357 in the upcoming days. However, a closing beyond $326 would bolster the upswing possibilities.
Reasoning
The 4hr Relative Strength index could not break beyond the half-line amidst declines toward 44. Moreover, the –DI maintained parallel action with +DI, confirming an active bearish trend.
The Chaikin Money Flow struggled to overcome the zero line as capital inflows deteriorated. Nevertheless, any rebound from the current support territory would affirm a bullish divergence.
Final Thought
The pattern while publishing this post showed Binance Coin tilting towards selling activities. For now, enthusiasts need to watch breaks past the current setup for any possible call.
Lastly, watching Bitcoin’s price actions plus broad market sentiment remained crucial to complement the above analysis. The crypto spectrum attempts to conquer bears with brief overnight increases. Nevertheless, bearishness drives the space at the moment.
Stay tuned for upcoming crypto market developments.
