- A streak of daily gains that is currently under threat has catapulted BNX price towards the August 22 high.
- BNX will benefit from a recovering Bitcoin whose price action continues to impact smaller capital markets.
The crypto market has been a whirlwind of activity, marked by modest gains across the board, recovering trading volumes and a sense of excitement among traders.
CoinMarketCap data shows that the total crypto market capital grew by 3.2% over the past 24 hours and currently stands at $2.02 trillion. In contrast, 24-hour trading grew by 26.40% during this period.
Bitcoin, the leading cryptocurrency by market capital, previously regained $57,000 on September 10, but remains 3% in the red this month.
In contrast, Binary
Source: TradingView
BNX traded with an impressive 30% gain over the past 7 days, leading gaming tokens including Axie Infinity (AXS), Sandbox (SAND), Gala (GALA) and Decentraland (MANA) during this period.
Binary X Price Prediction Shows…
TradingView’s BNX/USDT hourly chart shows that BNX turned around resistance at $1.37 to support on September 7, before accelerating to hit the $1.44 ceiling where it was previously rejected.
BNX continued its remarkable rise on Monday, September 9, pressing a fourth consecutive green candle.
Source: TradingView
BNX was changing hands for $1.49 at the time of writing. A continued consolidation above $1.37 will strengthen the bulls’ resolve to challenge the firm resistance around $1.7, where BNX price was rejected twice in August.
BNX needs to overcome this resistance at $1.66 to seek a new yearly high in uncharted territory above $1.84.
Source: TradingView
Conversely, a correction will highlight the support level at $1.38. A breakdown below this immediate support will lead to a further retracement towards the stronger support around the 200-day moving average at $1.00.
Profit taking and downside risks
On the daily chart, BNX showed signs of price weakness after the notable bullish breakout following an initial dip, which took the token below $1.12 on September 7.
The Relative Strength Index (RSI) and MACD (Moving Average Convergence Divergence) indicators on the BNX/USDT 4-hour chart also signal a shift and a potential shift towards bearish momentum.
Source: TradingView
The RSI reading was outside the overbought zone above 70 and hovering just below 67 at the time of writing. Meanwhile, the MACD line is approaching the signal line from above and forming a bearish crossover, indicating an impending price drop.
This bearish outlook could prompt traders to take profits, increasing selling pressure at current levels.
Furthermore, a lack of immediate supportive catalysts could attract short positions from bearish speculators while bullish counterparts focus on tightening stop-losses on their long positions.