- BNB price up in 24 hours, trading at $579.
- 4-hour chart shows rounding bottom formation with $610 neckline.
- Potential targets: $639-$667 short-term, $747 by end of 2024.
Binance Coin (BNB) finds itself at a critical juncture as it embarks on a potentially significant bullish reversal. The cryptocurrency has demonstrated remarkable resilience, posting gains in the past 24 hours and over the last week, defying the broader altcoin market’s minor pullback.
With a current trading price of $579 and a market capitalization of $85 billion, BNB is steadily approaching the psychologically important $600 threshold.
BNB forms rounding bottom
Technical analysis of the 4-hour chart reveals an intriguing rounding bottom formation, a pattern often associated with trend reversals. This formation emerged following a support trendline breakdown triggered by geopolitical tensions in East Asia.
BNB swiftly found support at $537, initiating a recovery rally that forms the base of the rounding bottom pattern. The neckline of this formation lies near the $610 supply zone, coinciding with the previous swing high.
Trend-based Fibonacci levels indicate that BNB is currently facing resistance around the 38.20% retracement at $587. However, growing bullish momentum has resulted in a crossover between the 50 and 100 Exponential Moving Averages (EMAs), a typically bullish signal.
Furthermore, the Relative Strength Index (RSI) on the 4-hour timeframe maintains a sideways trend above the 50% midpoint, reflecting overall positive sentiment.
Looking ahead, a successful breakout above the rounding bottom’s neckline could potentially target the $639-$667 range in the short term. For a more ambitious long-term outlook, the 161.80% Fibonacci extension level at $747 emerges as an optimistic target by the end of 2024. This projection suggests the possibility of BNB establishing a new all-time high in the coming year.
