Summary
- Binance Coin [BNB] had a strong reaction to Bitcoin’s gains and gained 20.5% within four days.
- The daily market structure has turned bullish, but a pullback as deep as $290 remains a possibility.
- Strong confluence of support at $292, POC at $304.2 and VAL High/Low at $322.8 and $274.7 respectively have been identified.
Overview of BNB Price Action
Binance Coin [BNB] reacted extremely positively over the past two days of trading, with an impressive 20.5% gain seen within four days due to the bullish euphoria surrounding Bitcoin’s gains across the crypto-market. Despite this, a retracement before a sustained move higher up the charts remains possible too.
Daily Market Structure
On the daily timeframe, the market structure for Binance Coin seemed to be bullish once more. The recent lower high at $294 was beaten during the latest reversal, but the $309-mark has posed some resistance over the past 24 hours. A strong confluence of support at $292 was identified based on Volume Profile Visible Range (VPVR) which showed that Point of Control (POC) was at $304.2 while Value Area High (VAH) and Low (VAL) were found at $322.8 and $274.7 respectively.
Technical Indicators
The Relative Strength Index (RSI) crossed over above the neutral 50-level which indicated that bullish momentum had taken root in BNB’s price action, further confirmed by Obvial Volume (OBV). Fibonacci retracement levels also revealed that 78,6% retracement level lay at around 276$, almost coinciding with VAL low.
