BNB at a crossroads despite bullish signs — Is a move to $600 still possible?

• BNB has recently pulled back from the resistance line of a months-long consolidation channel. 
• Despite this, a bullish pattern known as the ascending triangle could halt the decline.

In 2024, Binance Coin [BNB] reached a record high of $720. To sustain this momentum amidst market turmoil, it began accumulating in June. This phase saw the price moving back and forth within a confined area. 

Last week, after pulling away from the resistance line, BNB fell by 8.49% but then rebounded by 2.04% upon reaching the support line of the bullish pattern.

What’s next for BNB in this volatile market? AMBCrypto offers an in-depth look.

Potential paths ahead for BNB 

Typically, the movement within the consolidation channel suggests that BNB should trend lower after bouncing off the resistance level at $604.9. However, an ascending triangle offers hope for a rally.

If this ascending triangle holds, BNB’s next target could be a return to the resistance line. At this juncture, two scenarios are possible: if bullish momentum is strong, BNB could potentially rise to $720 or higher, surpassing its all-time high.

Source: Trading View

On the other hand, if the support levels of the currently developing ascending channel fail, the token could fall to $495.8, where the consolidation’s support line lies.

Limited BNB supply could trigger a rally

According to Coinglass, the availability of BNB across several exchanges has significantly decreased as traders move their assets to private wallets for long-term storage.

In a notable withdrawal, traders removed $21.64 million worth of BNB from Binance—a substantial amount that could influence buying pressure.

Source: Coinglass

Additionally, Open Interest, which measures market sentiment, indicates that traders are gradually starting to buy the coin, with a modest increase of 0.36% recorded.

If this trend continues, with Netflow remaining significantly negative and Open Interest becoming more positive, then we could see a strong buying momentum that will support a potential rally.

Read Binance Coin’s [BNB] Price Prediction 2024–2025

RSI U-turn indicates a bullish market shift

The Relative Strength Index (RSI) is a momentum indicator that measures the speed and change of price movements, helping to identify overbought or oversold conditions as well as the overall market sentiment.

A sharp U-turn in the RSI value indicates a clear shift in market dynamics, with bullish sentiment gaining the upper hand. As the RSI line continues to trend upward, we can expect to see a stronger rally.