Key takeaways:
BNB is experiencing short-term correction risks but remains in a robust bullish position above the trendline.
Breakout formations and on-chain positivity indicate potential targets of $1,250–$1,565 by the end of the year.
BNB (BNB) surged over 10% this weekend, outperforming a mostly flat crypto market.
As momentum diverges from its counterparts and price exploration continues, the question arises: can the Binance-linked token climb even higher?
BNB faces “overbought” risks in September
BNB’s recent uptick has pushed the relative strength index (RSI) on the four-hour chart into overbought territory, increasing the chance of a short-term pullback. The token has decreased 2.89% from its peak of $1,083.50 reached earlier today.
A correction toward the 20-4H exponential moving average (20-4H EMA; the green wave) near $1,012 appears increasingly likely in the coming days, based on recent overbought declines. This short-term target aligns with the 0.236 Fib retracement.
BNB’s decline could extend toward the 50-4H EMA around $974, a significant level of trend support, should selling pressure intensify next week.
BNB price may reach $1,150 in October
Analyst Gael Gallot believes that BNB holding above the $970 support indicates healthy consolidation, noting consistently increasing trading volume and long overweight positions in the derivatives market.
He commented in his Sunday update:
“BNB broke the 1000 mark and reached a new high at 1074 before settling near support at 987 to 990. Trading volume peaked at 3.28 billion during this move, and momentum remains strong with a long-short ratio of 17.71, indicating bullish positioning.”
The $970 price floor also represents the lower trendline of BNB’s larger ascending channel pattern, as depicted below.
Since June, each retest of the lower trendline has historically triggered rebounds of 20–35% toward the top of the channel.
If this fractal pattern repeats, BNB could surpass $1,150 in October, which would be a 10% increase from its current levels, even if prices initially pull back to $970 in the coming days.
BNB’s year-end target is $1,250 or higher
Looking ahead, BNB is preparing for a potential year-end rally, driven by its breakout from a long-term cup-and-handle formation.
The price has surpassed the 1.618 Fibonacci extension near $1,037, converting it into support. Potential upside targets are set at $1,250, derived from the cup-and-handle breakout, and the 2.618 Fib line around $1,565, should momentum persist.
This setup resembles BNB’s 2,650% rally that followed its ascending triangle breakout in 2020–2021.
Related: ‘Diamond hand’ investor turns $1K into $1M as BNB tops $1,000
BNB on-chain data leans bullish
BNB’s Net Unrealized Profit/Loss (NUPL) metric has re-entered the optimism–anxiety zone, a level last observed during the 2020–2021 bull rally that preceded a surge from under $50 to over $600.
The current sentiment indicates that holders are increasingly optimistic, often signifying mid-cycle strength. With BNB’s technical and fundamental indicators appearing robust, it may be entering its most bullish phase of the cycle, even in the face of short-term corrections.
This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.
