Bitcoin, trading at $69,887, has momentarily paused its ascent beyond its record peak, while the altcoin market, particularly Binance Coin (BNB), experiences a surge in demand, propelling its value above $500. This boost in BNB’s value is a direct result of the buoyancy provided by Bitcoin’s recent rally.
BNB’s Resurgence
After a brief dip to $59,000 for Bitcoin, BNB also saw a price drop, hitting around $360 at one point. However, these downturns were short-lived as Binance’s prior settlement with US regulatory entities laid the foundation for a thriving market. Today, BNB celebrates a significant milestone, having crossed the $530 mark for the first time in 791 days.
The first quarter of 2024 has been a topic of extensive discussion since June 2023 due to pivotal events such as the Binance case, which have significantly shaped the current favorable conditions in the cryptocurrency market, leading to BNB’s price soaring past $530.
Forecasting BNB’s Price Trajectory
Analysts suggest that if BNB maintains its position above the crucial $538 level on the monthly chart, it could be poised to set new all-time highs. Should both BNB and BTC sustain their strength, BNB could potentially escalate to $694 in anticipation of the 2024-2025 bull season.
Conversely, if BTC fails to maintain its stance above $69,000 and BNB’s price retracts, key support levels would come into play. A significant support exists at $482 on the daily chart, with potential fallbacks to the $430 area. Further declines could see supports at $388, $345, and $317 tested.
While strong backing from the world’s leading cryptocurrency exchange suggests a bullish outlook for BNB, historical trends indicate that altcoins may not see substantial rallies until a halving event occurs. Despite the influx of demand through ETFs potentially altering the cycle, investors should remain vigilant about stop regions in altcoin investments.