BNB is poised for a breakout with CZ’s release, strong RSI, and growing adoption.
- Former Binance CEO, CZ, returns this week. Binance continues its attempts to break past the $600 price level.
Binance [BNB], ranked fourth by market cap, is a top altcoin to watch, especially with expectations for gains in Q4 2024.
BNB, like other coins, faced struggles but remained consistent despite its founder, CZ, the former CEO of Binance, serving a four-month sentence for anti-money laundering violations.
CZ’s release on the 29th of September marks a significant moment for Binance and the broader Binance Smart Chain (BSC).
As news of CZ’s release broke, BNB started trading near the $600 price level, a key resistance it has failed to break since the 5th of July. Now, BNB/USDT could potentially break this level.
Source: TradingView
Previously, BNB/USDT made a low on the 5th of July touched the $600 level two weeks later, and dropped lower on the 5th of August. Another attempt to break $600 was made three weeks later, which also failed.
However, the current alignment of market conditions, paired with CZ’s return, suggests this time could be different. This combination could provide the momentum needed for BNB to surge higher.
Binance eyeing altseason
Bitcoin dominance is almost peaking, paving the way for the anticipated start of altcoin season, which could further propel BNB’s price action.
If history repeats itself, altcoin season could begin in around 50 days, which would align with BNB’s potential breakout past $600.
With these factors in play, traders may see a move toward $800 if market indicators continue to favor a bullish trend.
Source: TradingView
Moreover, the crypto market’s daily relative strength indicator (RSI) was 59 at press time, indicating a positive sentiment for most cryptocurrencies.
This RSI level suggested there was bullish momentum, but it remained below the overbought threshold, signaling room for further upward movement.
With this favorable sentiment, BNB may continue to rise as it heads into a strong Q4.
Share of monthly active users on top gaming chains
Moreover, BNB Chain’s role in the gaming sector is contributing to its overall adoption.
It ranks among the top five gaming blockchains by monthly active users in September 2024, behind Solana (33%), Tron (27%), Ronin (22%), and ahead of Polygon (8%) with BNB at 10%.
As BNB Chain gains traction in gaming and other blockchain applications, its increased usability strengthens its position to break and maintain levels above the $600 resistance.
Source: Token Terminal
BNB is in a strong position for growth, with key factors like CZ’s release, favorable market sentiment, and increased blockchain adoption boosting its potential to rise higher.
If the stars align, BNB may surpass the $600 level and aim for higher targets in the coming months.
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