The BNB exchange rate is trading near an important horizontal resistance area. Her breakthrough could appreciably accelerate the growth rate of Binance’s native coin exchange
The cryptocurrency market sagged last week, but BNB, the native token of leading cryptocurrency exchange Binance, did not lose ground.
As BeInCrypto’s editorial staff told earlier, long-term investors do not seem to be frightened at all by the negative background, regulatory scrutiny and the general FUD atmosphere around Binance.
Despite all these factors, BNB is once again trying to break through an important area of horizontal resistance.
If successful, the coin could confirm the continuation of the long-term bullish trend.
On the way to key resistance
Technical analysis shows that the BNB has been rising since June 2022 along an uptrend support line. In March 2023, the price pushed back from that level.
It is now trading under the $350 horizontal resistance area. Together with the above-mentioned line it forms an ascending triangle on the chart.
This pattern is considered bullish, and the price usually makes a bullish breakout of it.
If it happens again, the BNB will target the next resistance around $660 (projection of the triangle height to the breakout level, white).
If it happens again, the BNB will target the next resistance at $660 (projection of the triangle height to the breakout level, white).
The weekly Relative Strength Index (RSI) supports continued price gains.
This index is a momentum indicator, indicating the overbought/oversold market, depending on whether it is above or below the 50 mark.
In the case of the BNB, it remains bullish as it stays above the 50 mark and rises.
The daily chart also supports a bullish outlook for the coin. Both price dynamics and RSI promise the market a bullish breakout of the $350 long-term resistance area.
In this timeframe the RSI is also above 50 and rising, confirming the bullish trend.
BNB: Should We Expect a Bullish Breakout
In April the BNB exchange rate sagged under the descending line (red circle), but immediately recovered above it and tested it as support (green icon).
This kind of dynamic is usually considered a bullish sign. It can support the forecast about the potential of breaking through the area of $350 and growth of BNB in the direction of $660.
In the meantime, a close below the uptrend support line would cancel the bullish outlook for the coin and could condition a drawdown to $245.