BNB price hit a new all-time high, driven by an inverted head and shoulders breakout and a golden cross, with analysts predicting a price of over $1,000.
Binance Coin (BNB) gained significant bullish momentum as it surged to a new all-time high reaching $775. The rapid rise in cryptocurrency prices follows a key technical pattern breakout and the formation of a golden cross, both of which signal the potential for further gains.
With growing investor optimism and a surge in trading activity, analysts are now eyeing a potential rally that could see BNB’s price climb to $1,000 in the coming weeks.
BNB price skyrocketed to a new high.
BNB's price has recently risen to a historic high, largely due to the breakout of the head and shoulders pattern, which is a bullish reversal chart pattern. This pattern typically marks the end of a downtrend, and this was confirmed when BNB broke through the $680-$700 resistance area.
This breakout indicates that the bearish trend suppressing BNB prices has ended, and the market is turning towards bullish sentiment.
After breaking the head and shoulders pattern, the expected target price is $780, with the next key resistance level around $800. However, some analysts believe that BNB's upward momentum could extend further.
Ali, a cryptocurrency analyst at @ali_charts, predicts that if the weekly close remains above $662, BNB could rise to $1,630. This prediction has piqued the interest of traders who are closely monitoring BNB's price performance to assess whether it can maintain the current momentum and reach these higher targets.
Golden cross signals enhance the upward trend, rising to $1,000?
At the same time, on BNB's price chart, the 50-day simple moving average (SMA) has crossed above the 200-day SMA, which is a strong signal of a shift to a bullish trend, forming a golden cross. The golden cross indicates that BNB's price may continue to rise, supported by short-term and long-term bullish momentum.
The 50-day moving average is currently above the 200-day moving average, further confirming that BNB is in the early stages of a sustained upward trend. Historically, golden crosses often precede significant price increases, and many traders see this as a signal to enter long positions. Therefore, the market is becoming increasingly optimistic that BNB will soon continue to rise to $1,000.
If the bears control the market, the $680-$700 range, which was previously a resistance level, is now expected to become a strong support level. This level corresponds to the neck line of the head and shoulders pattern, and any pullback to this area may be seen as a buying opportunity.
The immediate resistance level for BNB is $780. If this level is broken, the next significant resistance level is expected to be around $800. If $800 is breached, the path to higher targets (including Ali's forecast of $1,630) may become more feasible.
Increased trading activity supports the bullish momentum.
The surge in BNB prices is also attributed to a significant increase in derivatives data trading volume and open contracts. Trading volume increased by 125.30% to $4.42 billion, while open contracts rose by 33.78%, currently totaling $1.46 billion.
The rise in trading volume and open contracts strongly indicates that more traders are entering the market, suggesting increasing confidence in BNB's future performance.
The increase in open contracts indicates that traders are going long, expecting prices to continue rising. The heightened market participation further supports the view that BNB may rise further, potentially pushing prices towards Ali's ambitious target of $1,630.
