The Binance coin price plunged 1.15% to $665 during Wednesday’s U.S. trading session. Following a 5-day recovery, this pullback offers an opportunity for buyers to regain bullish momentum. The daily analysis shows short-term consolidation in the BNB price, awaiting a potential breakout for a higher rally. Will the altcoin regain the $800 mark?
BNB Price Consolidation Shows an Eminent Breakout
Over the past five weeks, the BNB price has fluctuated within a range of two horizontal levels: $693 and $626. This consolidation suggests a temporary breather for buyers following a notable recovery in April and May.
According to CoinMarketCap data, the BNB price currently trades at $668 and holds a market cap of $94 billion. Meanwhile, the 24-hour trading volume is recorded at $1.77 billion.
If the broader market recovery resumes, Binance Coin could surge 4% and challenge the overhead resistance of $626. A potential breakout will signal the continuation of the recovery trend and bolster the price to $730, followed by an extended push to $800.
This altcoin, showcasing its suitability above the 200-day exponential moving average, suggests that the broader trend is bullish and buyers have a higher chance of driving its price.
Amid the lateral trend, the average direction index (ADX) dipped to 19%, accentuating the reset of bullish momentum before the next leap.
Channel Pattern Drive Steady Uptrend in Binance Coin
Despite the short-term sideways trend, the BNB price shows a sustainable uptrend in the higher timeframe. The two ascending trendlines support this bullish trend, indicating the formation of a rising channel pattern.
These two trendlines act as dynamic resistance and support before the price breaks either of them, leading to an aggressive move. Typically, a bounce from the pattern’s lower boundary builds sufficient momentum for buyers to challenge the upper boundary.
Thus, the Binance coin could surpass $800 with sustained buying and chase the overhead trendline at $870.
On the contrary, if the BNB coin shows supply pressure at the upper boundary, the price could revert lower and spark a bearish reversal.
Also Read: Bitcoin Price Ready for New High Amid Whale Support And Healthy Correction
