BNB, the native token of World’s largest crypto exchange Binance is a popular asset with a market capitalization of $43bn. The token rallied ahead of the July 27 Federal Open Market Committee meeting, but the expected 75 basis point rate hike might cap the current rally which is yet to be seen. The volumes of the asset swelled by almost 66% in the last 24 hours. BNB recovered from the 50-day simple moving average (SMA) ($239) on July 26th, suggesting that the bulls are attempting to convert this level into support.
At the time of writing, BNB was trading at $268.
BNB after making the low of $183.4 on 18th June has shown good signs of recovery and has rallied by almost 49% up to $274.8. The asset is trading in an ‘Ascending Channel’ where the lower trendline acts as a strong support and the upper trendline of the channel acts as a resistance. BNB is facing a strong resistance at $275 (Horizontal Trendline). Hence, to further rally it needs to give a breakout above the resistance with good volumes whereas if it breaks the lower trendline of the channel then the prices can drop and test $215 levels.
Disclaimer: This report is not intended to be relied upon as advice to investors or potential investors and does not take into account the investment objectives, financial situation or needs of any investor. All investors should consider such factors in consultation with a professional advisor of their choosing when deciding if an investment is appropriate. The Company has prepared this report based on information available to it, including information derived from public sources that have not been independently verified. No representation or warranty, express or implied, is provided in relation to the fairness, accuracy, correctness, completeness or reliability of the information, opinions or conclusions expressed herein. This report is preliminary and subject to change; the Company undertakes no obligation to update or revise the reports to reflect events or circumstances that arise after the date made or to reflect the occurrence of unanticipated events. Trading & Investments in crypto assets viz. Bitcoin, Bitcoin Cash, Ethereum etc.are very speculative and are subject to market risks. The analysis by the Author is for informational purposes only and should not be treated as investment advice.