Then follow us on Google News!
Binance has been in selloff mode for quite some time but is showing signs of pulling up from its drop. On the 1-hour time frame, it can be seen that price failed to form new lows beyond 0.00019 and is finding support at a broken resistance level.
If this area continues to keep losses in check, Binance could bounce back to the latest swing high and beyond, indicating a pickup in bullish pressure. Volume has been ticking higher to reflect returning investor interest.
Bitcoin has been losing traction leading up to the November network upgrade as rival bitcoin gold has been launched. If this gains a lot of support from miners and stakeholders, bitcoin could give up more ground on the hard fork.
But if the previous upgrade is any indication, the core version could eventually win out and benefit from a stronger network that is able to handle more transactions than before. In that case, Binance could return most of its recent gains to bitcoin.
Zooming out to the daily time frame gives better insight on why Binance is ticking higher. As it turns out, price is already testing a major support level around 0.00021 and could be due for a bounce higher.
Stochastic is already pulling up on this time frame to indicate a return in bullish momentum that could lead to a test of the descending triangle resistance. If it holds, another test of support could be underway but an upside break would be indicative of more gains in the cards.
Binance is an up and coming exchange but it has its own cryptocurrency. These tokens were created by an Ethereum smart contract some time ago and a total of 80m BNB coins is kept in reserve, all of which belong to the team. A total of 200m coins were created initially so there are 120m BNB coins waiting to be traded.