BNB Technical Analysis: Buyers One Step Before the Rally Start

Peter  |  Jul 31, 2021

One of the strongest projects, which showed both excellent growth during January-May 2021, and remarkable resilience during the correction of the crypto market is the BNB. After a strong fall wave on 19 May, most altcoins updated their local lows 2 more times, forming clear channels for the price to fall. However, the BNB market took a different path. In the weekly timeframe, we see that after 19 May, buyers confidently keep the BNB price above the range of $210-240.

The Critical Range for Buyers Is At $210-240

High trading volumes have been concentrated in this range since February 2021. The fact is that it took buyers about 40-days to buy all the sellers in this range and move above. In addition, in mid-February, with a breakdown of the range of $210-240, huge trading volumes were recorded, which indicates the importance of this range. The last attack by sellers last week ended horribly.

To begin with, we see that the weekly candle closed with a large pin-down and without attacking volumes. In addition, sellers have not even been able to test the trend line, which buyers have been keeping since May 2021. These facts leave buyers all the chances to prove themselves in August and test the range of $630-680. It is in this range that it will become clear whether the correction in the BNB market has been completed.

BNB Technical Analysis

If we look at the situation of the BNB market in the daily timeframe, we see that the main problem of buyers is near the mark of $426.

BNB

This mark is the upper limit of consolidation, which was formed after a strong May fall. If we analyze the BTC market, we see that yesterday, buyers managed to break their true limit of consolidation up. Therefore, there are positive dynamics for our main growth scenario.

Though, the scenario of continued consolidation of the BNB price should also not be overlooked. The BNBBTC chart does not allow forgetting about such scenario:

As we can see, the price is moving in a big wedge and most likely the BNB market expects a local rebound. The trading volumes do not inspire the idea of ​​breaking this wedge up. Therefore, until the BNB price is fixed above $426, we will not particularly emphasize the scenario of growth to $630-680.

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