In the near term, the Binance Coin price will likely keep rising as bulls target the key resistance at $500.
Bullish View
- Buy Binance Coin and set a take-profit at $500.
- Add a stop-loss at $450.
- Timeline: 1 day.
Bearish View
- Set a sell-stop at $470 and a take-profit at $430.
- Add a stop-loss at $500.
The Binance Coin price drifted upwards on Thursday as investors attempted to buy the dips. The BNB/USD pair is trading at 477, which is a few points above this week’s low of 453. The price is still about 30% below the highest point in November last year.
Binance Coin Comeback Attempt
Binance is the world’s biggest blockchain company. The firm offers a number of services like an exchange, yield program, and a Non-Fungible Token (NFT) marketplace. The firm transacts cryptocurrency volume worth over $30 billion per day.
Binance is also the parent company of the Binance Smart Chain (BSc), which is a leading Ethereum-like project. It is a layer 1 platform that many developers are turning to these days. BNB is the native token for this platform, just as ETH is the coin for Ethereum.
Binance has a strong market share in the decentralized apps industry. For example, a quick look at the decentralized finance (DeFi) industry shows that it is the third-biggest platform after Ethereum and Terra. There are over 290 apps built in the network that have a total value locked (TVL) of over $14 billion.
Some of the best-known DeFi platforms built in the Binance Smart Chain network are PancakeSwap, Multichain, and Alpaca Finance among others.
Developers opt to use the BSs for several reasons. First, they love the fact that it is affiliated with Binance, the biggest firm in the industry. Second, its network is significantly faster than Ethereum since it can process thousands of transactions per second (tps). Third, transactions in the Binance Smart Chain are way cheaper than those in Ethereum.
The Binance Coin has declined sharply recently in line with the overall performance of the cryptocurrency industry. Indeed, most coins like Bitcoin and Ethereum have all retreated. Also, it has risen because of the growing competition from its competitors like Terra and Solana.
BNB/USD Forecast
The four-hour chart shows that the BNB price has attempted to make a comeback in the past few days. The coin has risen from this week’s low of 453 to the current 478. Along the way, the coin has moved slightly above the 23.6% Fibonacci retracement. It is also attempting to move above the 25-period and 50-period moving averages.
Therefore, in the near term, the Binance Coin price will likely keep rising as bulls target the key resistance at $500.
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