Binance broke to the upside of its falling wedge consolidation pattern to signal that further gains are in the cards. Price is in a holding pattern or a bullish flag at the moment so an upside break past the highs could be needed to sustain the climb.
The rally spans around 0.00090 to 0.00115 so the resulting climb could be of the same height. The 100 SMA is below the longer-term 200 SMA, though, so there may be some selling pressure left. Then again, the gap between the moving averages is narrowing to signal a potential upward crossover or pickup in bullish momentum.
Stochastic is turning lower to indicate that sellers could still take the upper hand. RSI is also indicating overbought conditions, so buyers might take it easy from here. In that case, a pullback to the broken wedge resistance or the dynamic support at the moving averages could be in order.
Binance unveiled a new blockchain for a decentralized cryptoexchange, which led to the surge in price. It also announced that it plans to transition from an exchange to a community by developing its Binance Chain, which will be used to transfer or trade different blockchain assets.
“We believe significant improvements can be made in providing Binance users with a level of trading experience to which they are already accustomed. Centralized and Decentralized exchanges will co-exist in the near future, complementing each other, while also having interdependence.”
This led to a strong improvement in investor sentiment even after Binance suffered a hack a few weeks back. Binance offered $250,000 worth of its BNB token for the first person who shares information leading to the arrest of the attackers.