Could Binance Coin's $1 Billion Inflow Start an End-of-Year Rally?
Will CZ’s comeback trigger a bull run?
This study examines BNB pricing patterns to see whether 2024 offers better options.
Former CEO and industry star CZ is about to be released from a long US prison term, and many expect him to ignite a Binance Smart Chain bull-run akin to Justin Sun's Tron antics.
If the influx is real, this might be similar to Binance Coin's late comeback in Q4 2017, when it broke free of rock-bottom support and rallied +1,633%.
Could Binance Coin Have a Big End-of-Year Rally?
In an HTF retracement from its June 6th all-time high, Binance Coin is trading at $542 (a 24-hour move of +2.41%).
Bulls successfully defended a double-bottomed support pattern above bedrock support at $470 in August.
The solid defense has created the foundation for a robust rebound before CZ's release. Price action is pressing over crucial 20DMA support ($523).
Binance coin bulls want $575 to break out from the LTF upper trendline by pushing over the 200DMA.
The RSI is fast rising throughout the upswing rebound, presently at 55.64, suggesting the climb may be harder than it looks.
This shows upward potential, but Binance coin price may drift into overbought territory, which might indicate an upcoming consolidation above the 200DMA before the trendline retest.
The positive MACD reading of 2.3 indicates strong momentum supported by large volumes during the $1bn influx.
BNB has an upward goal of $575 (a +6% move) due to its bullish stance.
BNB price might drop 3.58% to isolated 20DMA support at $523.
Overall, BNB has a short-term risk-reward ratio of 1.68, indicating a bullish entry with a potential upside.
This is fantastic news for BNB investors, although it may not be the best return in 2024.
Indeed, a little +6% LTF rise doesn't attract hungry retail traders.
