BNB has gained 5% over the past week, approaching the long-term resistance level of $598.90. At the time of writing, the cryptocurrency is trading at a seven-day high of $585.50 and looks set to continue its upward momentum.
Technical indicators point to a possible break above the $598.90 resistance level, which could push the price towards a four-month high of $652.90. This analysis explores the realism of this scenario in the near term.
Binance Coin Sees Growing Bullish Momentum
At its current price, BNB is trading above its 20-day exponential moving average (EMA) and its 50-day simple moving average (SMA).
The 20-day EMA measures the average closing price of an asset over the last 20 trading days. It is a short-term indicator that responds quickly to price fluctuations. On the other hand, the 50-day SMA is a long-term indicator that tracks the average closing price of an asset over the past 50 days.
The BNB 1-day chart reveals that it crossed the 50-day SMA on October 4 and crossed the 20-day EMA during the trading session on Tuesday. When an asset crosses the 50-day SMA and then breaks the 20-day EMA, it signals a shift in momentum to the upside.
Moreover, according to the Moving Average Convergence/Divergence (MACD) indicator for BNB, the MACD line (blue) is about to cross the signal line (orange), confirming the bullish outlook.
When an asset's MACD, which tracks its trend and potential price reversal points, is set in this way, it indicates strengthening bullish momentum. This suggests that the asset may be entering a sustained bullish phase.
BNB Price Prediction: May Reclaim All-Time High
Continued demand for BNB could push its price towards the long-term resistance level of $598.90. The altcoin has seen significant selling pressure at this price level since June, with every attempt to rally above it failing.
If successful this time, it will pave the way for BNB price to reach $652.90, the high seen on June 19. A successful breakout of this level will put the coin on a path to reclaim its all-time high of $721.80.
However, if the buying pressure decreases, BNB price may lose its recent gains and drop to the support level of $522.90.
