Binance Coin [BNB] has seen steady growth over the past week, gaining slightly over 3%. In the past 24 hours alone, it has moved into the supply zone, gaining 1.04%.

While trader sentiment remains bullish, BNB must contend with significant hurdles that could hinder its upward movement.

BNB faces hurdles on the chart

AMBCrypto’s analysis shows that BNB has entered the significant fair value gap (FVG) supply zone identified on the 4-hour chart, ranging from $580 to $590. This area may limit the upward movement of the price.

Typically, FVG supply zones act as a catalyst for downward pressure, leading to investor losses.

The last time BNB traded in this area, it fell 6.02% in two days, reaching a low of $551.50.

If the market moves lower again, BNB might drop to around $558.90. However, if the bullish momentum takes over, it might rise to around $618.60.

AMBCrypto reports that current market trading activity supports a potential upside trend.

Short traders record heavy losses

The current market liquidation situation is seriously unbalanced, with short traders bearing most of the losses.

At the time of writing, short traders have been liquidated to the tune of $4,630,500, while long traders have been liquidated to the tune of $948,900.

This imbalance indicates a bullish market as more short positions are closed, signaling upward momentum for BNB price.

In addition, funding rates have remained positive. A positive funding rate means that long traders are paying short traders, which reflects strong buying demand and suggests that the market expects prices to rise further.

The Aroon indicator also supports this bullish sentiment. The Aroon Up line (which measures the time since the last price high) is currently above the Aroon Down line with a reading of 85.71% to 50.00%.

This shows that a bullish trend is developing

If this bullish momentum continues, BNB is likely to move higher and further uptrends are expected in subsequent market trading.

Market optimism drives Binance Coin price up

In the past 24 hours, BNB price has seen a slight increase, up 1.04% to $595.80. If these indicators below hold true, BNB may continue to rise in the short term. However, as the market remains unpredictable, investors should pay attention to price action around the current resistance level.

The Moving Average Convergence Divergence (MACD) indicator is signaling a possible uptrend with the MACD line crossing the signal line. Moreover, the Chaikin Money Flow (CMF) is in the positive territory, reflecting mild buying pressure.

BNB price shows signs of a bullish trend, with whales holding more than $5 million worth of the stablecoin accumulating more supply. The rise coincides with the gradual recovery in the top altcoin’s price since mid-September, as market participants closely monitor whale activity. Amid these developments, the potential for continued gains remains high.

BNB price shows strong potential for further growth as market momentum builds. Whales hoarding stablecoins adds to this bullish outlook, signaling further gains. Investors are optimistic and keeping a close eye on key resistance levels.

Although BNB has currently entered a supply zone, which would normally be a catalyst for a potential decline, there are several indicators that suggest that BNB may successfully handle this challenge.