The BNB price is trading at $568 with a bearish bias as of 4:30 am EST. BN`b has been sealed in a downtrend over the last four days, with 3.2% losses. Market participants are expecting a sustained uptrend for the exchange token as it trades in a highly bullish chart pattern in the daily timeframe.
BNB bulls seek a return to areas above $625
BNB has had an impressive run in 2024, posting more than 82% gains from year-to-date. In the recent sell-off, the price turned away from all-time highs of $724 reached on June 5, as profit-booking took precedence. This was followed by a steep fall that saw the token lose 27% of its value to seek solace from the buyer congestion zone at $450 on before sharply recovering to the current.
This price action led to the appearance of a V-shaped recovery chart pattern on the four-hour chart, as shown below. This bullish technical formation has seen the BNB price flip two resistance levels into support, the 200-day exponential moving average (EMA) at $506 and the $550 psychological level.
This support-resistance flip suggests a change in market sentiment from bearish to bullish, with the previous resistance level capping the price movement, becoming a new support level from which the price may seek defense.
Traders may consider entering long positions when the price successfully breaches the resistance zone between $600. If they are successful, the price may rise to the neckline of the prevailing chart pattern at $625. Such a move would represent a 10.23% uptick from the current price.
TradingView Chart: BNB/USD
On the other hand, a rejection from the current level could see BNB price drop below the $560 level, where the 50-day EMA and 100-day EMA appear to converge. If this level fails to hold as support, the altcoin could slump to retest the support provided by the $500 buyer congestion zone around which the 200-day EMA currently sits.
In highly bearish cases, the BNB price could descend to the $482 swing low, which would invalidate the bullish thesis.
