Key Resistance To Watch As BNB Coin Price Hits New High

• The BNB coin price breakout from flag pattern resistance signals the end of the current consolidation trend and a potential surge above $990.
• The Nasdaq-listed BNB Network Company (BNC) acquired $160M in BNB, signaling an increasing institutional confidence.
• Binance drives nearly 40% of the entire CEX market, which is more than 4.5x its closest rival.

Binance coin (BNB), the native cryptocurrency of the BNB Chain ecosystem, bounced over 6% during Wednesday’s U.S. market hours to reach a new high of $881. While buying pressure aligns with a relief rally in the broader crypto market, the BNB coin price shows potential for a higher rally as Binance strengthens its dominance in the centralized exchange (CEX) landscape. As the asset reenters price discovery, the market buyers must watch for these key resistances.

Binance Tightens Grip on CEX Market as Trading Volumes Surge

Since last week, a majority of major cryptocurrencies, including Bitcoin, have shown a bearish pullback amid the U.S. microeconomic development, including the July PPI report. Despite the broader market correction, the BNB coin price shows firm resilience and maintains a sideways action above $820.

On August 20th, the crypto market witnessed a slight slowdown in momentum, triggering a sharp relief rally in digital currency. However, Binance Coin outperformed the general market upswing and jumped over 6.5% to reach a new high of $881. Consecutively, the asset market cap bounced to $122.03 billion, while the 24-hour trading volume is up 31.55% to stand at $3.55 billion.

The buying pressure can be attributed to increasing institutional adoption of Binance Coin. On Monday, the treasury management arm of CEA Industries Inc., BNB Network Company (BNC), announced that it has expanded its 325,000 BNB, bolstering its position as the largest BNB treasury.

Adding to the bullishness, Binance continues to tighten its grip on the CEX market, processing $698 billion in spot trading volume in July, a 61% jump month-on-month, according to CoinGecko.

This surge places Binance at nearly 40% of the global CEM spot market, which is 4.5 times more than its nearest competitor. This scale brings deeper liquidity, better trade execution, and reduced slippage in Binance, making the exchange a preferred venue for retail and institutional investors.

If the trend continues, the Binance coin would attract normal demand, as it’s the core currency of the ecosystem.

Also Read: Ethereum Price Correction Meets Whale Confidence; Is $5,000 Rally Close?

BNB Coin Price Gives Major Breakout From Bull Flag Pattern

Amid the recent correction, the BNB coin price resonated with the two trendlines of a bull flag pattern. The chart setup is characterized by a long-ascending trendline denoting the dominant trend in this asset, followed by a temporary pullback within two converging trendlines to replenish the exhausted bullish momentum.

With today’s jump, the BNB coin price offers a bullish breakout from the resistance trendline of this flag pattern, signaling the continuation of the prevailing uptrend. The breakout rally has pushed the price to a new high of $881 before reverting to the current trading value of $874.

The short pullback forms a long-wicked rejecting candle in the 4-hour chart, suggesting a renewed overhead supply and potential for a post-breakout retest to the breakout floor. If buyers manage to hold the $860 floor, the BNB coin price will surge to the $916 mark, registering 4.65% growth from the current value.

However, the anticipated surge could face in-between resistance at the $885 mark.

Also Read: Will Bitcoin Price Hold $110k Floor as Whales Absorb Speculators’ Sell-Off?