Disclaimer: The findings of the following article are the sole opinions of the writer and should not be taken as investment advice
Binance Coin’s market has not been as volatile as the rest of the altcoin and Bitcoin market. In fact, it was only recently that BNB’s value breached its immediate resistance at $31.92 following a surge, with the cryptocurrency trading at $33.04, at press time. In light of its performance, BNB has emerged to become the most sought-after exchange token in the market, with BNB registering YTD returns of 149%, at the time of writing.
Given BNB’s low price volatility, however, it is difficult to predict a price swing in the Binance Coin market.
Binance Coin one-day chart
Source: BNB/USD on TradingView
The one-day chart for Binance Coin attached herein highlighted the long consolidating phase it has been on since September. The consolidation has been between $31.92 and $26.73. BNB’s price recently breached the upper baseline of $31, with the exchange token maintaining its value above the said level since.
The price of the cryptocurrency, given the volatility at the moment, might be moving sideways, at least in the long-term.
Reasoning
The Relative Strength Index had hit the overbought zone before it returned to the equilibrium zone. At the time of writing, however, the value of the RSI was rising. With the push and pull from traders continuing, the RSI rose to operate parallel to the 70-level.
On the contrary, the Awesome Oscillator was expecting the buying momentum to drop and sellers to enter the market. This could prove to be a sign of reversal and may result in the dropping value of BNB. However, a lack of momentum may result in the continued sideways movement of the coin.
Conclusion
The value of BNB has been moving sideways mostly, despite a recent surge. The press time support for BNB was at $31, and in light of the lack of volatility in the market, a price swing may not be on the cards for now.
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