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BNB Bulls to Target $250 on Optimistic Binance Institutional Survey

By:
Bob Mason
Published: Jul 1, 2023, 05:07 GMT+00:00

After a breakout Friday session, BNB was on the rise this morning. Optimism toward the crypto market outlook likely supported the early gains.

Binance Coin Technical Analysis - FX Empire

In this article:

Key Insights:

  • On Friday, BNB joined the broader market in the positive territory, gaining 3.13% to end the day at $240.4.
  • A Binance Institutional Crypto Outlook Survey painted a rosier outlook for the crypto market, delivering support.
  • However, the technical indicators were less bearish, supporting a return to $250.

On Friday, binance coin (BNB) gained 3.13%. Following a 1.08% gain Thursday, BNB ended June down 21.64% to $240.4. Despite the bullish session, BNB fell short of the $250 handle for the seventh consecutive session.

Bullish throughout the morning, BNB rose to a midday high of $241.9 before hitting the reverse. BNB broke through the First Major Resistance Level (R1) at $236.3 and the Second Major Resistance Level (R2) at $239.5.

However, the reversal saw BNB slide to an early afternoon low of $230.7. Finding support at the First Major Support Level (S1) at $230.2, BNB broke back through R1 and R2 to end the day at $240.4.

Binance Institutional Crypto Outlook Survey Paints Rosy Outlook

On Friday, Binance released the Institutional Crypto Outlook Survey. Binance surveyed investors at a difficult juncture for the platform and the US digital asset space.

However, the survey provided some crypto market optimism. Canvasing more than 200 global institutional investors, 63.5% of respondents had a positive outlook about cryptos over the next 12 months. Materially, 88.0% of respondents were bullish about the next decade.

Despite the crypto winter and increasing regulatory uncertainty, 47.1% of institutional investors maintained their crypto allocation over the past year, with 35.6% increasing their exposure over the same period. Significantly, 50% expect to increase their crypto exposure, with only 4.3% expecting to reduce their exposure to cryptos in the next 12 months.

While the survey provided market optimism, the SEC influenced investor sentiment. The SEC reportedly considered the latest BTC spot ETF applications lacking clarity and comprehensiveness.

One area of SEC focus was the lack of surveillance-sharing agreements or appropriate details about the surveillance-sharing agreements. 21Shares, ARK Invest, Blackrock, Fidelity, Invesco, Valkyrie, and WisdomTree all reportedly amended and refiled their applications on Friday.

The comments and refiling contributed to a choppy afternoon session for BNB and the broader crypto market.

The Day Ahead

It is a quiet day ahead, with no US economic indicators to provide direction. The lack of external market forces leaves BNB in the hands of the crypto news wires.

SEC v Binance-chatter will remain the focal point. However, investors should track the crypto news wires for regulatory chatter from other jurisdictions amidst increasing regulatory scrutiny and the loss of banking partnerships to support deposits and withdrawals.

However, SEC v Ripple case-related news would also move the dial. A Ripple victory would be a bullish outcome for BNB and the broader crypto market.

Binance (BNB) Price Action

This morning, BNB was up 0.17% to $240.8. A bullish start to the day saw BNB rise from an early low of $240.2 to a high of $245.9 before easing back. BNB briefly broke through the First Major Resistance Level (R1) at $244.6.

BNB finds early support.
BNBUSD 010723 Daily Chart

BNB Technical Indicators

Looking at the EMAs and the 4-hourly candlestick chart (below), the EMAs sent bullish signals. BNB sat above the 50-day EMA ($239). The 50-day EMA closed in on the 100-day EMA, while the 100-day EMA flattened on the 200-day EMA, sending bullish signals.

A hold above the 50-day EMA ($246) would support a move through the 100-day EMA (243) and R1 ($245) to target R2 ($249). However, a fall through the 50-day EMA ($239) would bring S1 ($233) into view.

EMAs turn bullish.
BNBUSD 010723 4-Hourly Chart

Resistance & Support Levels

R1 – $ 245 S1 – $ 233
R2 – $ 249 S2 – $ 226
R3 – $ 260 S3 – $ 215

 

 

About the Author

Bob Masonauthor

With over 20 years of experience in the finance industry, Bob has been managing regional teams across Europe and Asia and focusing on analytics across both corporate and financial institutions. Currently he is covering developments relating to the financial markets, including currencies, commodities, alternative asset classes, and global equities.

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