Aaryamann Shrivastava
FXStreet
- Binance Coin price has risen by more than 21% in the span of ten days to trade at $336.
- BNB has managed to test the lower limit of the resistance block of $332 to $357 as a support floor, preparing to breach the upper limit.
- If the market cooldown results in significant corrections, a drawdown in price could drag the altcoin below $300.
Binance Coin price has been adhering to the broader market cues for the last couple of days as the crypto market flourished against the macroeconomic conditions. The bullish narrative noted at the hands of buyers is expected to stick, which could push BNB further, provided this hurdle does not hinder its rise.
Binance Coin price looks to November 2022 highs
Binance Coin price rising by 21.13% in the last ten days has brought the cryptocurrency to trade at $336. The altcoin is currently testing a crucial support level at $332, which also marks the previous year-to-date highs before BNB reached $339 on March 17.
This price level also acts as the lower limit of the resistance block from $332 to $357.
The bullish momentum suggests Binance Coin price could be able to continue its rise as it aims to breach the critical resistance at $357. This price point is important to be flipped into support as doing so would place BNB back at November 2022 highs, the level the altcoin was at before the FTX collapse.
Interestingly, the Relative Strength Index (RSI) is teetering at the edge of the overbought zone above 70.0. Crossing into this zone has historically indicated a period of cooldown for the cryptocurrency, which is followed by corrections or consolidation. Even in the case that BNB consolidates around the $332 range, it would only be preparing for a further rise.
BNB/USD 1-day chart
However, if the support level is lost, the Binance Coin price would get another opportunity to bounce back to $321 before slipping to $297. The latter marks the critical support level, losing which would bring the altcoin to year to date low of $265.
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