BNB Price Eyes New Heights: Technical Analysis Points to $700 Target

Binance Coin (BNB) has finally broken through the key $600 resistance level that had held prices back for months; but can it cross $700?

Though opinions on whether the cryptocurrency can surpass its previous all-time high of $717 in the near future are still mixed, it looks set for future increases above its current price of $661.

BNB’s Recent Performance and the Market Context

The recent success by BNB coincides with a general upswing in the cryptocurrency industry, with Bitcoin hinting at but failing to surpass the psychological $100,000 threshold. Altcoins have traditionally benefited from this hesitancy in Bitcoin’s rise, and BNB seems to be taking advantage of this market phenomenon.

With only a 6% weekly growth, the token has fallen well short of some of its altcoin competitors. BNB may benefit from this relative underperformance, though, since it indicates the possibility of catch-up growth at a time when other altcoins may near overbought levels.

BNB/USD Technical Analysis

Several key technical indicators paint a cautiously optimistic picture for BNB:

• The MACD has formed a bullish crossover, suggesting building upward momentum
• RSI readings at 56 indicate room for further upside before reaching overbought conditions
• The 20-day EMA at $619 serves as crucial support
• Price action shows successful defense of the $600 level after multiple tests

The 4-hour chart reveals bulls successfully defending the breakout level of $635, with immediate resistance now seen at $688. A breakthrough above this level could open the path to $722, though selling pressure has been evident at higher levels as indicated by recent long-wicked candlesticks.

Key Levels to Watch

Support Levels

• Primary: $619 (20-day EMA)
• Secondary: $600 (Psychological and technical support)
• Tertiary: Uptrend line below $600

Resistance Levels

• Immediate: $688
• Critical: $700 (Psychological)
• Major: $722 (Previous high)
• Ultimate: $810 (Potential target if breakout succeeds)

What Does the Future Hold for BNB Price?

BNB has an intriguing possibility given the state of the market. Although other altcoins have reported significant gains this cycle, BNB’s comparatively muted performance raises the possibility that it is undervalued in relation to its rivals. Profit-taking in other tokens may divert funds to underperforming assets with solid fundamentals, therefore this could be beneficial for a potential rally in BNB.

But there are a number of obstacles in the way of reaching $700 and higher. Compared to the 9% daily swings that defined BNB’s prior run to all-time highs, daily gains have been moderate, seldom surpassing 2%. This implies that even while the technical setup looks promising, a sustained breakout will require a lot more buying pressure.

Technical indications and current market dynamics suggest that the $670 level is reachable in the near future. However, a significant rise in purchasing pressure and probably a wider market catalyst will be needed to provide the required momentum in order to hit new all-time highs.

In order to validate bullish intentions, traders should look for higher volume and more aggressive price action. They should also keep a watch on the critical $600 support level, which needs to hold in order to preserve the present constructive market structure.