What to know:
- Binance Coin (BNB) price is recovering from the $568 support zone as buying pressure begins to strengthen.
- A move above the $591 middle Bollinger Band could support further gains toward $618.95.
- Sustained buying could push BNB toward the key $647 target, while $568 remains critical support.
BNB price appears to be recovering from its recent weakness, which is evident from its rise from the critical support level. The current technical formation implies that the buyers are making a move to take charge again, and any further advance could provide an opportunity to move towards the next resistance level.
At the time of writing, BNB is trading at $606.01, with a 24-hour trading volume of $675.05 million and a market capitalization of $80.70 billion. BNB is down around 0.2% over the last 24 hours, indicating that the short-term recovery is still facing some resistance.
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BNB Price Rebounds From Key Support
On August 14, crypto analyst BitGuru mentioned that BNB is starting to show recovery after its declining trend. The cryptocurrency is currently finding support at the $568 region, and with the recent price movement, it seems like buyers are trying to make a recovery from this level.
Should the trend continue in the same direction, BitGuru noted that the next critical region for BNB to break out of would be the $647 region. It would mean that the coin would manage to recover most of the losses that it had recently suffered.
Nevertheless, it should be noted that the trend towards $647 is not entirely guaranteed because BNB will have to prove its ability to grow despite resistance levels. In case of a reversal, the $568 support level might become relevant again.
Technical Indicators Point to Improving Momentum
Technical indicators for BNB are also pointing towards stronger buying pressure.
Currently, BNB is trading around $606, which is above the middle line of the Bollinger Bands at around $591.21. The upper band is at around $618.95, whereas the lower band is at $563.46.
Considering BNB is approaching the upper Bollinger Band, it can be said that the buying pressure has become stronger after the previous fall in the market. A move above the middle line will strengthen the case further.
MACD is another confirmation of the positive setup. MACD itself is at 8.76, which is higher than the Signal Line at 6.80, while the histogram is close to 1.96. Such an arrangement means that uptrend momentum is still present during the time of the analysis.
If buying momentum prevails, then the next price level for BNB is likely to be $618.95, followed by a push towards $647 as indicated by BitGuru.
What Happens Next for BNB Price?
This $591 zone has now emerged as a critical reference for the short term since it is not far from the Bollinger Bands’ middle line. A move above this level may help keep the recovery structure intact, and thus it will be possible for BNB to test the $618.95 resistance level.
If this level is broken convincingly, then it may increase the likelihood of moving to $647.
In addition, another round of selling may take BNB to the $568 support region once again. This may mark the end of the recovery setup and show that the bearish movement has not yet finished.
In summary, what we have learned is that BNB is currently trying to convert its declining trend into a recovery move. The critical points to monitor in this case include the $568 support, $591 middle band, and $619 upper band. The more significant target for upside action will be seen at $647.
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This article contains market analysis and price predictions. These are not guarantees. Crypto markets are volatile. Always DYOR. Not financial advice.
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