Binance Coin’s [BNB] bullish bias will continue, claims analyst

Binance Coin’s [BNB] bullish bias will continue, claims analyst

June 10, 2019

Binance Coin [BNB], the native token to the most reputed cryptocurrency exchange on the planet, has enjoyed a positive 2019 owing to a slew of developments emanating from the exchange. In April, the cryptocurrency broke its all-time-high [ATH], elevating it to a league of its own. However, the question remains, will this bullish high for BNB sustain itself?

A recent analysis by Zerononcense’s CryptoMedication aims to address that very question. For this analysis, the author used the BNB/USDT pairing, and not one with a fiat currency.

Source: Trading View

Primarily, the analysis looked at the volume of the cryptocurrency on its parent exchange, Binance, over the past few days. Describing the same as “crazy,” the report added that when one zooms out of the chart, the market is quite ‘obviously bullish.’

This would imply that the outranking green candlesticks are higher than their corresponding red candlesticks, while the drawdowns have been “far and few in between.”  CryptoMedication, looking at volume, stated,

“There’s mostly just been brief periods of correction/consolidation before further advances in price action. “

Towards the close of 2018, when the market was in the middle of the crypto-winter, the analysis states that at this point, the diagonal support began forming. Additionally, an “intermediate support point” was also found, primarily in the near term, if the price failed to consolidate.

Source: Trading View

Considering February’s price action, the analysis stated that the cryptocurrency is “in the midst of a bull flag,” which is a total of consolidation and continuation. CryptoMedication stated that if this “bull flag” prolongs then,

“If this is the case, then it is only a matter of time before $BNB continues on its ferocious tear.”

The author does level the point of a bearish swing post the flag. However, he contends that with the performance of the cryptocurrency over the past few months, there is “hardly any reason to suggest that it will not continue on this path for the foreseeable future.”

In order to detect the same, the analysis migrated to BNB/BTC from their stablecoin pairing.

Source: Trading View

Using Fibonacci Retracement for Binance Coin from the all-time low to the ATH, the support point was identified at 35 satoshis, or 11.4 percent below the price of $31.24, at press time.

Given these findings, the analysis highlighted that there does exist a “bullish bias.”

The analysis read,

“Without any plausible reason to suggest that $BNB is going to stop its run at any point in the near future (on any of the longer time frame charts; daily/weekly/etc.), it seems most prudent to employ a bullish bias on this one. “

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