Aniket Pujari
Binance Coin price rose for three consecutive days, and four crucial catalysts may push it to over $1,100 in the near term.
Binance Coin (BNB) climbed to a high of $610 on Thursday, up by 20% from its lowest level this week. It remains about 26% below the highest level in December last year, meaning that it has done better than most altcoins.
First, BNB price may bounce back ahead and after the Pascal hard fork. This hard fork will be important for the BNB Smart Chain or BSC as it will introduce more features in the network. The upgrade will introduce better EVM compatibility and smart contract wallets. Its other features will be that it will introduce gas abstraction, batch transactions, and more flexibility for developers.
Pascal is one of the three upgrades that aim to improve the BNB Chain network by increasing transaction speeds.
Second, the BNB price may benefit from the rumors that the Trump family was considering buying a stake for Binance US. An investment by the family would likely smoothen the reboot of its US business. It is unclear whether the deal will go on now that Changpeng Zhao has refuted the claims.
Third, BNB coin may benefit as the BSC continues to gain market share against popular networks like Ethereum (ETH) and Solana (SOL). The network is now running a promotion that provides $4.4 million in permanent liquidity to dApps in the ecosystem to support their growth.
BNB price has formed a C&H pattern
The fourth catalyst that may push the Binance Coin price is that it has formed a cup and handle pattern. C&H is one of the most bullish patterns in the market. It is characterized by a rounded bottom, a horizontal resistance, and some consolidation. BNB is now forming the handle section, pointing to an eventual rebound.
The coin remains above the 50-week and 100-week moving averages, a sign that bulls are in control.
Its C&H pattern has a depth of about 74%. As such, measuring the same distance from the upper side of the cup gives a target at $1,160. A drop below the support at $500 will invalidate the bullish view.
