BNB price gained momentum and climbed above the 0 resistance. It is showing positive signs and might rally toward the 2 resistance zone.
- BNB price is moving higher above the 0 resistance.
- The price is now trading above 0 and the 100 simple moving average (4 hours).
- There was a break above a key bearish trend line with resistance near 2 on the 4-hour chart of the BNB/USD pair (data source from Binance).
- The pair might continue to move up if there is a clear move above 8.
BNB Price Regains Traction
These past few days, BNB price formed a base above the 0 level. The price started a decent increase above the 0 and 2 resistance levels. In the past two sessions, it even outperformed Ethereum and Bitcoin.
BNB broke the 76.4% Fib retracement level of the downward move from the 7.1 swing high to the 1.9 low. There was also a break above a key bearish trend line with resistance near 2 on the 4-hour chart of the BNB/USD pair.
It is now trading above 0 and the 100 simple moving average (4 hours). The current price action is positive and signaling more upsides above the 8 resistance zone.
The next resistance sits near the 2 level. A clear move above the 2 zone could send the price further higher. In the stated case, BNB price could test 2. It is close to the 1.618 Fib extension level of the downward move from the 7.1 swing high to the 1.9 low.
Source: BNBUSD on TradingView.com
A close above the 2 resistance might set the pace for a larger increase toward the 5 resistance. Any more gains might call for a test of the 0 level.
Downside Correction?
If BNB fails to clear the 8 resistance, it could start a downside correction. Initial support on the downside is near the 8 level.
The next major support is near the 2 level. The main support sits at 2. If there is a downside break below the 2 support, the price could drop toward the 2 support. Any more losses could initiate a larger decline toward the 5 level.
Technical Indicators
4-Hours MACD – The MACD for BNB/USD is gaining pace in the bullish zone.
4-Hours RSI (Relative Strength Index) – The RSI for BNB/USD is currently above the 50 level.
Major Support Levels – 8, 2, and 2.
Major Resistance Levels – 8, 2, and 5.