After Monday’s more than 3.0% dip, the second largest so far this month, Binance Coin (BNB) is back on the front foot. BNB/USD was last changing hands about 1.5% higher on the day on Tuesday, having recovered back to the north of the $310 level after finding support at its 21-Day Simple Moving Average (SMA) just above the $300 level.
BNB continues to trade just over 3.0% below earlier weekly monthly in the $320s, with traders reluctant to continue bidding the price higher ahead of a barrage of key upcoming macro risk events. These include Wednesday’s Fed policy announcement, Thursday’s ECB and BoE policy meetings and Friday’s US jobs report, as well as a smattering of other tier-one US data releases like the ISM PMI surveys and JOLTs job openings.
The Fed is expected to hike rate by another 25 bps to 4.50-4.75%. Fed Chairman Jerome Powell’s tone on the outlook for further rate hikes (markets are pricing just one more hike in March) will be the key thing for markets – some strategists expect Powell to come across as hawkish, despite a growing mountain of evidence that US inflation is falling back rapidly towards the Fed’s 2.0% target.
Where Next For BNB?
BNB/USD is at risk of dropping below its 21DMA and a short-term upwards trend line if the Fed does deliver a hawkish surprise. That would open the door to a drop back towards the next major support area in the $280 area, where the 18th January low, 100 and 200-Day SMAs reside.
Conversely, if macro events this week turn out as a positive for crypto (i.e. a dovish Fed and weak US data spur Fed easing bets), BNB could be looking at an upside break of the $320 resistance area. That would open the door to a rally back towards November 2022’s highs close to $400, a potential 27% rally from current levels.
Crypto Strategists Give Their BNB Price Predictions
According to a Twitter post by crypto technical analyst World of Charts, BNB is on the verge of breaking to the north of a long-term pennant structure. If the breakout is confirmed, World of Charts noted, a test of all-time highs is to be expected.
Elsewhere, according to Elliot wave-focused technical analyst Cheeky Crypto, Binance Coin could eventually reach into the $950-$1,570 range in the long term.
Is It Too Late to Buy Binance Coin (BNB)?
Asking whether it’s too late to buy an asset is never the right question. The answer is always never. The right question is whether an asset should be bought or not. And that depends on how an investor judges its long-term price performance outlook.
If you deem BNB as likely to rise substantially in price in the current years, based on your own research, it is probably worth buying some. If not, then stay away.
BNB Alternatives
If you’re looking for other high-potential crypto projects alongside BNB, we’ve reviewed the top 15 cryptocurrencies for 2023, as analyzed by the CryptoNews Industry Talk team.
The list is updated weekly with new altcoins and ICO projects.
Disclaimer: The Industry Talk section features insights by crypto industry players and is not a part of the editorial content of Cryptonews.com.
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