Following the recent tension between Binance and the SEC, which led to Binance CEO CZ’s resignation, the focus has shifted to Binance’s native token, BNB. Analyst and trader Rekt Capital suggests that if BNB can surpass and maintain a significant resistance level, it might trigger a substantial rally.
Rekt Capital believes that Binance Coin (BNB) turning the $340 resistance into a support level could signal a positive outlook for the cryptocurrency. After reclaiming its position from SOL as the fourth-largest crypto asset, BNB might be on the cusp of an incredible surge.
According to Rekt Capital’s analysis, BNB has broken out from a descending triangle formation on the weekly chart, a pattern typically associated with bearish sentiment. However, a breakout above the hypotenuse could indicate the start of an uptrend.
BNB’s price showed approximately a 20% increase over the past week, trading around $316 at the time of writing. Meanwhile, Rekt Capital also reviewed Bitcoin (BTC), noting that there’s just over 100 days left until the planned April 2024 halving event.
The analyst mentioned that deeper pullbacks before the halving could present ultimate bargain buying opportunities for Bitcoin. Rekt Capital’s chart also indicates that Bitcoin is currently above the upper trend line of an ascending triangle, a pattern generally associated with bullish movements.
Looking back at Bitcoin’s history, it underwent a significant correction just before the third halving in 2020, only to reach an all-time high later that year. At the time of writing, Bitcoin was trading just below the $42,000 level.