Binance Coin (BNB) Shows Signs of Bullish Momentum as it Tests Crucial Support Level

BNB has been around the $491 support level. This support level has proven to be a significant point of interest for its buyers.

Binance Coin (BNB) appeared to be gearing up for a bullish momentum as it approached a crucial support level.

BNB has been hovering around the $491 support, which appeared to be a point of interest for its buyers. This was evident from the multiple bounces off this level. The strength of this support indicated that BNB might be preparing for a bullish reversal.

BNB’s price chart on the higher timeframe showed the formation of a bullish pattern. Prices have respected an uptrend line over time, indicating a gradual buildup of buying pressure.

This also meant that if the trend continues, the token could cross through key trendline resistance levels as it heads towards the $555 target.

Source: Tradingview

BNB liquidation pool might fuel the upward rally

According to Coinglass liquidation data, there was a massive liquidation pool with 37.2K BNB at a price of around $522.

Historically, such huge concentrations of orders during liquidations have led to sudden bursts of momentum in prices. As prices approached this mark, short squeezes could propel it to quickly approach the target of $555.

Source: Coinglass

There appeared to be no significant changes in the Binance Coin Exchange open interest over the past months. Despite some price variations recently, there hasn’t been much change in open interest levels.

This indicated continued participation among its market players. The stability in interest could provide sufficient liquidity for any potential upward move.

Source: Coinglass

Read Binance Coin (BNB) Price Prediction 2024-25

Eyes on $555

The current market price and on-chain metrics suggested that BNB may be in a bullish state, although cryptocurrency remained inherently unpredictable.

Strong support at $491 and a large liquidation pool at $522.5 created an interesting scenario for a possible bullish rally.

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