Binance Coin Breaks above Resistance at $460, Pushes on the Upside

Aug 23, 2021 at 11:11 // News
Author
Coin Idol
BNB is likely to be rejected at the recent high

Binance Coin (BNB) price has risen to $490 after breaking above the initial resistance at $460. Buyers reached the new price level after three days of price action. However, further upward momentum is unlikely as the cryptocurrency reaches an overbought zone.

BNB is likely to be rejected at the recent high. If the price declines, it could fall to the breakout level of $460. However, if BNB falls back above the $460 support level, it would signal the resumption of a downtrend. At the time of writing, BNB is trading at $486.42.

Binance Coin indicator reading

The altcoin is at level 79 on the Relative Strength Index for period 14. Binance Coin is now trading in overbought territory. There is a possibility that the cryptocurrency will fall into the overbought zone. This is confirmed by the daily stochastics as it is above 80%. The 21-day line SMA and the 50-day line SMA are pointing north, indicating an uptrend.

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Technical indicators:

Major Resistance Levels - $700 and $750

Major Support Levels - $400 and $350

What is the next direction for BNB/USD?

Binance Coin is likely to move back up after a small retracement. On the 4 Hour Chart BNB/USD has broken through resistance at $460. Another uptrend is likely. Meanwhile, a bearish candlestick tested the 78.6% Fibonacci retracement level. The retracement suggests that BNB will rise but initiate a reversal at the 1.272 Fibonacci extension or $480.58.  

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Disclaimer. This analysis and forecast are the personal opinions of the author and are not a recommendation to buy or sell cryptocurrency and should not be viewed as an endorsement by CoinIdol. Readers should do their own research before investing funds.

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