BNB May Test Resistance at $300: Can it Reach $450 Next?
The decentralized exchange (DEX) Binance – one of the greatest in terms of traffic, issues the cryptocurrency known as Binance (BNB) coin. As per the whitepaper, the ‘Binance’ word is a mashup of the words “binary finance” and gives a wide range of decentralized financial (DeFi) services on an approachable platform. However, using the support services given by the exchange, users can easily trade or earn yield.
Before Binance cryptocurrency, the exchanges were built by programmers without a background in finance or managing decentralized exchanges. These were basic exchanges which unable to handle high transaction volumes. At that time, the retail and institutional participants were equally impacted by the lack of liquidity on exchanges, which made things worse for investors. All of these issues significantly impeded the production of a strong crypto exchange for the general public. Binance’s staff brings a plethora of expertise to the table to offer a secure, effective, rapid, and user-friendly decentralized exchange. Although the platform has undergone extensive testing and validation for security and with the help of its wide network of cryptocurrency partners, Binance was able to efficiently service the global market.
Binance has gradually developed into a multifaceted DeFi platform with the main focus on providing its users with a large variety of financial options in addition to trading and exchange. Binance Earn is one of the platform’s features whose goal is to serve as the platform’s one-stop shop for DeFi. The service comes with a money account where users may deposit cryptocurrencies and receive interest, among other advantages.
The Secure Asset Fund for Users is another noteworthy aspect of the platform (SAFU). It was created by Binance as a backup insurance fund to protect user assets. However, this fund was established to provide user compensation if exchange funds were stolen by dishonest individuals. But things don’t stop there and a staking account, a liquidity pool, and a debit card that improved security features are also available through Binance.
Binance Coin (BNB) momentarily surpassed the $300 level on Friday, achieving the day’s high of $303. Later on, BNB’s price reversed, although it is still trading at the $300 mark today. However, BNB has limitations, which is unfortunate, but it is still holding its own in the indices when compared to other cryptos. This coin has made an effort to present itself in the best possible light despite the current year’s unfavorable market conditions.
What Will Happen with Binance Coin (BNB)?
Despite the current downturn in crypto markets, top-known researcher Michael van de Poppe is still optimistic about BNB’s future. What prevents Binance’s price from collapsing like the other cryptocurrencies is the level of faith that investors have in the company.
BNB is one of the top 3 cryptocurrencies to keep an eye on in December 2022, according to Poppe, who has 164,000 YouTube subscribers. According to the analyst, BNB is currently in accumulation mode and could soar to new heights if its price breaches the $325 resistance.
According to Poppe, the next step for BNB might be $380 if it manages to overcome the $325 resistance level. Poppe predicts that if BNB overcomes the next hurdle of $380, it will soon approach $450 levels. BNB’s price, which is currently $292, needs to increase by over 50% for that to happen.
BNB’s progress toward $450
Binance Coin might reach $450 soon. For some weeks, the coin has been suppressed. Even for a little period, it fell below $300. However, it seems like there is a way to get $450, but there are two big obstacles to get in the way first.
$435 is the first obstacle that Binance Coin (BNB) is currently facing. BNB has attempted to pass this level on numerous occasions in the past but has failed. BNB may indicate more upside potential if it can close above this level.
The $336 threshold serves as the second barrier. Currently, Binance Coin is 10% below this mark. The coin may end the week higher than $336 if the market exhibits a more ferocious bullish trend tomorrow.
At the time of publication, Binance coin was down 2.8% over the previous day’s trading and was trading at $292. BNB has likewise lost 57.5% of its value since hitting an all-time high of $686 in May of last year.
The biggest obstacle will, however, be the next one. For BNB to retake the lead, significant momentum must build. We do not believe the coin has sufficient upward momentum to reach $358, though. As opposed to that, it’s more likely to test $336 before tumbling once more toward $310. There is also the possibility of certain negative outcomes. BNB might finally crash below $286 if the market does go sideways and fails to make any strong gain toward $336. The price of Binance Coin at the time of writing was $334.82. Over the previous several days, the native token of Binance has experienced a minor increase. But is still stuck in a symmetrical triangle configuration. Right now, BNB is trading at the peak of this formation.
If by the end of this week or early the following week Binance Coin (BNB) is unable to close above $358. BNB is most likely to start consolidating for $325. This is not always a bad thing because BNB will be well-positioned and have built a new, higher low. for a second try at an upside breakout in the upcoming weeks. Long-term, Binance Coin (BNB) continues to appear to be tremendously robust. Additionally, we think it will eventually reach $450 or even higher.
Conclusion- The bottom line
The initial step would be to assess the price momentum over the next two days. Don’t buy if Binance’s price remains constant between $308 and $318 for an additional two days.
In that situation, an upside breakout is more likely. BNB might be purchased for approximately $318 with a stop loss just below $308.
You might set a goal of $335 or even $350. If Binance Coin (BNB) moves to $350, our earlier prediction that it would enter a consolidation period would be incorrect. BNB could increase to $450 in the next weeks.
