Binance Coin (BNB) was part of the blistering altcoin rally of early 2020. To wit, that rally may not be over, and the recent corrections might have been enough to refill the tank; and if that’s the case, BNB should see another solid leg up.
Starting on the BNB/Bitcoin daily, we see a really cogent and well-behaved market progression. BNB was halted in its, what is likely, HTF uptrend at two clear levels of resistance; one a previous uptrending channel, and the other a historically significant previous resistance.
After that rejection, BNB has settled in nicely in a higher low, after finding buyers within predictable support – a zone that BNB shot through on the way up – and supported at the 21 EMA.
Coming down to a smaller timeframe, the 8-hour BNB/Bitcoin chart, we see a histogram that seems to be curling bullish for another LTF leg up within what has been an MTF correction/consolidation.
Bulls would like to see the ₿0.00245 level swept, which will clear the way for the local top to be swept as well. If that top is taken, the MTF trend should switch back to bullish. Alternatively, if the present higher low is lost, we can probably write off the bullish case in anticipation of another leg down and out of the local structure.
One way or another, we might look to Ethereum for an early warning, as the latter is likely at a decision point with regard to its MTF trend.
Finally, on a 4-hour BNB/Dollar chart, we see a similar potential. BNB’s recent correction was perfectly caught at two easily chart-able levels, and the altcoin has been trending up on the LTF.
The RSI trend here is asking to be broken, having been given some time to recuperate from the runup. The histogram here is also promising, looking to have plateaued on top of that LTF uptrend. BNB here is back above all the EMAs, which have braided together from after a brief bearish inversion.
Everything is set up for BNB to run if it can get a nod from the wider crypto markets. Those markets seem to be collectively deciding whether or not the larger MTF uptrend, in play since the start of 2020, will continue through February.
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