Binance Coin Could Surprise With 20% Upside, BNB Chain Shows Strength

Bhushan Akolkar
December 13, 2023
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As the broader altcoin market faces selling pressure, most of the altcoins have been showing weakness on the weekly chart. However, Binance Coin (BNB) which underperformed during the altcoin market, is now showing strength.

Binance Coin (BNB) Gearing for 20% Upside

Crypto market analyst Ali Martinez suggests that Binance Coin might be in the process of forming a head-and-shoulders pattern. The potential for a bullish breakout exists if there is a sustained close above the neckline at $261, with the trajectory pointing toward a target of $310 for $BNB.

Courtesy: Ali Charts

As of press time, BNB Coin is trading 2.37% down at a price of $247 with a market cap of $37.4 billion. The current trading value of Binance Coin (BNB) stands at $249, hovering close to reclaiming the significant psychological threshold of $250. Nevertheless, potential challenges await buyers at the $258 level, serving as a crucial trend indicator for Binance.

As the market experiences an ongoing recovery trend, there are further indications of a potential bullish breakthrough beyond the $258 mark, with the prospect of reaching $300. Traders are closely monitoring these key levels for potential shifts in BNB’s trajectory.

Strong On-chain Metrics for BNB Coin

According to three significant on-chain metrics—Volume, Social Dominance, and Open Interest in USD—indications suggest that the upward trajectory of Binance Coin (BNB) prices is likely to be sustained. Analysis of BNB volume spikes, as per Santiment data, reveals a correlation with local tops in the asset’s price. Notably, between November 12 and December 12, instances of increased BNB volume coincided with local price peaks.

Courtesy: Santiment

The social dominance of Binance’s native token typically rises alongside increases in BNB price, as illustrated in Santiment’s chart. Over the past six months, this pattern has occurred on multiple occasions, emphasizing the asset’s relevance and adoption among market participants. The social dominance of BNB has also been on an upward trend since December 5, 2023.

Another crucial metric, Open Interest (OI), serves as an indicator of demand for an asset. Santiment data shows a steady increase in OI since November 12, experiencing a nearly 31% rise in the past month. This further suggests that the recent gains in BNB prices are likely supported by heightened demand from new buyers entering the market.

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Investment disclaimer: The content reflects the author’s personal views and current market conditions. Please conduct your own research before investing in cryptocurrencies, as neither the author nor the publication is responsible for any financial losses.
Ad Disclosure: This site may feature sponsored content and affiliate links. All advertisements are clearly labeled, and ad partners have no influence over our editorial content.

Why Trust CoinGape

CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights Read more…to our readers. Our journal analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.

About Author
About Author
Bhushan is a seasoned crypto writer with over eight years of experience spanning more than 10,000 contributions across multiple platforms like CoinGape, CoinSpeaker, Bitcoinist, Crypto News Flash, and others. Being a Fintech enthusiast, he loves reporting across Crypto, Blockchain, DeFi, Global Macros with a keen understanding in financial markets. 

He is committed to continuous learning and stays motivated by sharing the knowledge he acquires. In his free time, Bhushan enjoys reading thriller fiction novels and occasionally explores his culinary skills. Bhushan has a bachelors degree in electronics engineering, however, his interest in finance and economics drives him to crypto and blockchain.
Investment disclaimer: The content reflects the author’s personal views and current market conditions. Please conduct your own research before investing in cryptocurrencies, as neither the author nor the publication is responsible for any financial losses.
Ad Disclosure: This site may feature sponsored content and affiliate links. All advertisements are clearly labeled, and ad partners have no influence over our editorial content.