Binance Coin (BNB) is reaching new all-time highs again after tanking to lows of $353 on Wednesday.
*Binance Coin (BNB) has been in a bullish rally
*BNB has gained 8.76% in the last 24 hours and 25.48% on a 7-day basis
*BNB rallies ahead of its token burn
Binance Coin (BNB) has been in a bullish rally since late March, sending the price to a new all-time high of $424 on Thursday. Binance Coin resumed the rise on April 8 from the prior day’s low of $353. The price structure of higher peaks and higher lows remains uninterrupted, signaling an uptrend. The buying appetite in the market drove the RSI well into the overbought area which may suggest that a pullback is possible in the near term. BNB has gained 8.76% in the last 24 hours and 25.48% on a 7-day basis at a present price of $420.
Binance Coin Rallies Ahead of Its Token Burn
BNB acts as a native payment token across the Binance ecosystem which includes a cryptocurrency exchange and two blockchains: Binance Chain (BC) and Binance Smart Chain (BSC). In the last few months, native exchange tokens have surged alongside the wider cryptocurrency markets. Meanwhile, Binance burns a portion of its BNB treasury based on volumes. At the current burn rate over the last 12 months (LTM), there are six more years until Binance burns its maximum 100 million tokens. The next event is on April 15.
BNB Daily Chart: Bullish
BNB found new buyers above the $400 mark, advancing its bullish impulse towards a fresh all-time high of $424 on Thursday. BNB subsequently entered price discovery with no defined resistances ahead. Meanwhile, an advance above the all-time high of $424 could send the pair towards the $500 resistance. On the other side, a bearish retracement could meet numerous supports ahead of the MA 50 at $274.
If selling interest surfaces, immediate support could come from the $353 level and $312. In case of further declines, support awaits at $283 ahead of the MA 50 at $237. Overall, BNB/USD continues to follow an uptrend, keeping sentiment positive. The soaring moving averages attest to the upward climb. A decisive close below the MA 50 may shift the outlook to neutral.
BNB/USD 4-Hour Chart: Bullish
BNB had a break above the prior resistance at $416 which opened the doors for more upsides. The BNB/USD pair then traded to fresh highs at $424. The pair is currently consolidating gains, with key support forming at $408. The next major support is near the $390 level. Any more losses might call for a test of the ascending trend line zone and the MA 50 support at $360.
Should the bulls regain strength, their first test would be the recent peak of $424. Beyond this, the pair could rise further above the $450 level. The key hurdle for the bulls is likely waiting near the $500 level. Looking at BNB/USD, the pair showing a lot of positive signs above $350 while struggling to clear the $424 resistance level.
Resistance levels: $550, $500, $450
Support Levels: $350, $315, $225
Image Credit: Tradingview
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