Highlights
- BNB hits new ATH of $765 after breaking the inverse head and shoulders pattern, signaling bullish momentum.
- Golden cross formed as BNB’s 50-day SMA crosses above 200-day, hinting at a sustained upward trend.
- BNB’s trading volume surged 125%, reflecting growing market confidence and fueling expectations of a move toward $1,000.
Binance Coin (BNB) has surged to a new all-time high, hitting $775, as it gains significant bullish momentum. The cryptocurrency’s rapid price increase follows the breakout of a key technical pattern and the formation of a golden cross, both of which suggest further upside potential.
With increasing investor optimism and a surge in trading activity, analysts are now eyeing a potential rally that could see BNB’s price climb towards $1,000 in the coming weeks.
BNB Price Skyrockets To New ATH
The recent rally in BNB price to an all time high is largely attributed to the breakout of an inverse head and shoulders pattern, a bullish reversal chart formation. This pattern, which typically marks the end of a downtrend, was confirmed when BNB broke above the $680-$700 resistance zone.
This breakout indicates that the bearish trend that had held BNB’s price down has now ended, and the market is shifting toward a bullish sentiment.
The breakout from the inverse head and shoulders pattern has led to a projected price target of $780, with the next key resistance level seen around $800. However, some analysts believe that BNB’s rally could go even further.
Ali from @ali_charts, a crypto analyst, has projected a potential move for BNB to $1,630, should the weekly close remain above $662. This projection has sparked interest among traders, who are closely monitoring BNB price performance to assess if it can maintain the current momentum and reach these higher targets.
Golden Cross Signals Strengthening Uptrend, Rally To $1000?
On the BNB/USD chart, the 50-day simple moving average (SMA) has crossed above the 200-day SMA indicating further positive price momentum and the formation of a golden cross on the chart.. This golden cross means that BNB is expected to keep on rising in the short term and in the long term.
The fact that 50-day SMA is currently trading above the 200-day SMA supports the view that BNB is still in the early stages of a long term bullish trend. Golden crosses have often preceded major price rises and are a way for many traders to take long positions. Consequently, the market has developed increased confidence that BNB will keep on ascending towards $1000 in the near future.
If bears take the control, the $680-$700 range which had provided resistance earlier can now be expected to provide support. This level coincides with the neckline of the inverse head and shoulders pattern and thus any pullback towards this zone will most probably be perceived as a buying opportunity.
The first level of resistance for BNB is at $780. If this level is broken the next major resistance is seen at around $800. Such a breakout above $800 can open the doors for more targets including the $1,630 as projected by Ali.
Increased Trading Activity Supports Bullish Momentum
BNB’s price surge is also backed by a sharp increase in derivative data trading volume and open interest. Volume has risen by 125.30%, reaching $4.42 billion, while open interest has increased by 33.78%, now totaling $1.46 billion.
This uptick in volume and open interest is a strong indication that more traders are entering the market, suggesting growing confidence in BNB’s future performance.
The rise in open interest signals that traders are taking long positions, expecting the price to continue rising. This growing market engagement further supports the view that BNB could experience further upward movement, potentially pushing the price toward Ali’s ambitious $1,630 target.
CoinGape