BNB Price Seeks Crucial Support Amid RSI Divergence

BNB, the native cryptocurrency of Binance's exchange, showed a slight uptick of 0.54% to trade at $596.

output: Binance’s native cryptocurrency, BNB, showed a slight uptick of 0.54% to trade at $596. The buying pressure likely followed Bitcoin’s recovery to $88,000, as microeconomic threats show a declining trend in the U.S. dollar.

While the Binance coin accompanied the broader market upswing, the bearish alignment in daily exponential moving averages hints at a potential pullback before buyers can regain bullish momentum.

BNB Price Seeks Crucial Support Amid RSI Divergence

In the last two weeks, the BNB price bounced from $5.20 to its current trading value of $5.9, accounting for a 14.73% surge. Consequently, the asset market cap surged to $84.02 billion, according to CoinGecko.

An analysis of the daily chart shows this upswing as a bullish reversal within the formation of a rising wedge pattern. Since Jan. 24, the pattern has carried a steady uptrend with the bottom trendline acting as a major accumulation zone. The previous reversal from this support has led to a recovery ranging from 46% to 120%.

However, a long-week rejection candle in the daily chart shows the BNB price is struggling to sustain above the $600 level. As the 100-day EMA slope is on the verge of crossing below the 200 EMA, the sellers could strengthen their grip over this asset for another decline. The overhead supply could push the asset 7% down to seek support at the bottom trendline of the falling wedge pattern.

The series of higher lows in the RSI momentum indicator highlights the building bullish momentum following each retest of the bottom trendline. The potential upswing could reach the immediate resistance timeline at $620, marking an initial change in market dynamics.

With sustained buying, the post-breakout rally could push the asset to $7.31 resistance, followed by an extended lift to $800.

On the contrary, if the tariff-driven volatility continues to pressurize the broader market, the BNB price could risk a breakdown below the support trend.

News data source: kdj.com

The above is the detailed content of BNB Price Seeks Crucial Support Amid RSI Divergence. For more information, please follow other related articles on the PHP Chinese website!