Will BNB see a breakthrough above $600 with CZ’s return on the horizon?
Binance’s BNB, the fourth-largest cryptocurrency by market cap, is poised for potential gains in the final quarter of 2024, making it a standout altcoin to monitor closely.
Despite encountering challenges like those faced by other digital currencies, BNB has shown resilience even amidst the absence of its founder CZ, who was serving a four-month sentence for violations related to anti-money laundering regulations.
The upcoming release of CZ on September 29 represents a pivotal moment for both Binance and the broader Binance Smart Chain (BSC).
Following the news of CZ’s impending return, BNB initiated trading near the critical $600 mark, a significant resistance level it has struggled to surpass since July 5. Now, there is potential for BNB/USDT to breach this threshold.
Previously, the BNB/USDT pair experienced a dip on July 5, approached the $600 level two weeks later, and then declined further by August 5. Subsequent attempts to break the $600 barrier were unsuccessful in the following weeks.
However, the current confluence of market conditions alongside CZ’s comeback implies a potential shift this time around. This synergy could provide the necessary impetus for BNB to make a significant upward move.
Binance anticipating the altcoin season
The dominance of Bitcoin is nearing its peak, setting the stage for the much-anticipated altcoin season to commence, potentially driving further upward movement for BNB.
If historical patterns repeat, the altcoin season could kick off in approximately 50 days, aligning with the possible breakout of BNB beyond $600.
Given these circumstances, traders might anticipate a push toward $800 if market indicators continue supporting a bullish trajectory.
Furthermore, the daily Relative Strength Indicator (RSI) for the crypto market stood at 59, indicating a generally positive outlook for most digital assets.
This RSI level suggests a bullish sentiment, albeit remaining below the overbought threshold, implying room for further upward mobility in prices.
Fueled by this optimistic sentiment, BNB could sustain its upward momentum as it enters a robust fourth quarter.
Market share analysis of top gaming blockchains
Additionally, BNB Chain’s involvement in the gaming space contributes significantly to its widespread adoption.
Ranked among the top five gaming blockchains based on monthly active users in September 2024, BNB stands at 10%, trailing behind Solana (33%), Tron (27%), and Ronin (22%), but ahead of Polygon (8%).
As BNB Chain solidifies its presence in gaming and other blockchain applications, its enhanced utility strengthens its potential to surge past the $600 resistance level.
BNB finds itself in a promising position for growth, buoyed by key catalysts like CZ’s return, optimistic market sentiment, and expanding blockchain adoption, all contributing to its prospects of scaling new heights.
If all factors align favorably, BNB could outstrip the $600 mark and set its sights on loftier targets in the months ahead.