- Binance Coin price hits short-term resistance at $314.
- BNB’s retest of its previous all-time high at $350 remains in play.
- Still, the Relative Strength Index (RSI) needs to confirm the breakout.
Binance Coin price broke out of a continuation pattern in the last few hours, surging by more than 12%. The gains were quickly erased after BNB got rejected at a crucial resistance barrier. Regardless, the recent erratic price behavior does not negate the bullish outlook.
Binance Coin price to resume uptrend despite hiccup
The volume explosion behind the BNB breakout is exactly what the bullish projection needs as confirmation. Total volume on the 4-hour chart was the highest since the rally into all-time highs in February, suggesting solid commitment among investors for this cryptocurrency.
It is clear the .786 retracement level at $314 is now the short-term resistance level for the developing breakout.
A 4-hour candlestick close above this price hurdle will confirm the new rally. If this were to happen, Binance Coin price could reach the all-time high at $350 in the coming days.
Such an upswing would represent a 22% gain from the breakout point at $286.
BNB/USD 4-hour chart
To be comprehensive in their analysis, bullish market participants cannot ignore the reversal from the .786 retracement level. It highlights that there are still holders who bought BNB near the all-time highs looking to sell at breakeven or with a small loss.
A 4-hour candlestick close below the pennant’s rising trendline at $272 will be the first important signal that a bearish outlook for Binance Coin price should be considered. Further confirmation would be a downswing below the rising 23 four-hour simple moving average at $267.
Share
