Recently, BNB (BNB) has broken out of the consolidation area, indicating a potential significant uptrend. The fact that the token has risen above the $700 level suggests that the market has recovery powerful and that traders and investors are becoming more sanguine.
BNB has increased noticeably by 12% in the last 24 hours, continuing the powerful trend of the previous week and month. This breakout has been noticed, and some analysts expect significant gains if the upward trend continues.
At the time of writing, BNB is up 3.56% at around $710, with a market capitalization of over $104 billion and a 24-hour trading volume of over $4.2 billion. Over the last day, the stock market capitalization increased by 12.73% and the trading volume by 79.6%.
Price formation and indicators on the 4-hour and 1-day BNB chart
Currently, BNB is trading above the 100-day basic moving average (SMA), with good growth momentum on the 4-hour chart. This means that the price is still positive and there is still room for it to boost.
The 4-hour moving average convergence divergence (MACD) also signals that BNB may continue to move higher as MACD histograms trend above the MACD zero line. Additionally, the MACD line and the MACD signal line are currently trending above the zero line with a good spread between them, suggesting that BNB still has room to move up.
This can be seen on the daily chart BNB the day before, it successfully broke out of the consolidation zone and broke its previous all-time high of $692. At this point, the BNB price still shows good momentum to boost.
Additionally, the 1-day MACD is also showing a bullish signal as the MACD histograms are currently trending above the MACD zero line. Furthermore, both the MACD line and the MACD signal line are trending above the zero line with a huge space between them, which indicates that the BNB price may continue to rise.
The importance of breaking through
To summarize, since prices have broken above the consolidation zone, BNB will definitely move into creation higher highs and lowest if the price continues to rise.
However, if it fails to move upwards, it will begin to fall towards the upper base of the consolidation zone for a retest. If this upper base is unable to support the price, it will continue to move lower to test the $509 support level and may even move further to test other support levels.
Featured image from Binance, chart from Tradingview.com
