On the Binance cryptocurrency exchange, the Binance Coin (BNB) and Bitcoin (BTC) trading pair is one of the most popular channels through which new money enters the market and we are breaking down some of the market highlights by different time frames.
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In crypto news, Binance, the number one cryptocurrency exchange, now allows debit card deposits from its Nigerian and U.S. clients; a move that increases speculative adoption of both BNB and BTC.
We will analyze BNBUSD, BTCUSD, and BNBBTC price charts to grasp the technical chart patterns that support the recent adoption.
Market Pair: BNB/USD
BNBUSD – Weekly Time Frame
After a 66.78% decline from the regular bearish divergence on August 19 ’19, BNBUSD breaks above the September 30 bearish accumulation resistance, while signaling a hidden bullish divergence on October 07.
Binance Coin advanced to trigger a triple bullish accumulation pattern on October 21, confirming an increase in buying power and a great time to buy the BNB Coin.
Market Pair: BTC/USD
BTCUSD – Weekly Time Frame
The price of Bitcoin paired against the USD breaks above the bearish accumulation resistance of $8,531.25 on October 21, establishing support at $7,293.55.
Last week bearish inside-bar after the bullish engulfing candlestick pattern signaled volatility overbought and correction of the price rally.
The pair trades within two dominant channels $9,092.66 – $9,819.92 and $9,438.61 – $8,961.53 on the daily time frame.
A break above the extreme maximum level would imply a continuation of the bullish trend. On the flip side, the Bitcoin price may first break below the support level before breaking above the resistance levels.
Finally, we move on to analyze the BNB vs. BTC crypto pair for insights into the significant chart patterns.
Market Pair: BNB/BTC
BNBBTC – Monthly Time Frame
The monthly chart overview of the BNBBTC found below shows how traders favored holding onto BNB on December 01 ’18 after the 2018 crypto winter, and then they went on to short the BNBBTC after the bearish accumulation pattern on May 01 ’19.
The selling power increased up till July 01 ’19, and the price eventually closed below the July low on August ’19.
The first bullish price month appears last month, October 01 ’19, after a 62.5% decline from the April 01 ’19 all-time high. It confirms a hidden bullish divergence setup and increases the optimism towards the BNB Coin.
BNBBTC – Weekly Time Frame
Taking a step lower to the weekly time frame, we observe BNBBTC breaking above a bullish inside-bar candlestick pattern. A price close above the MA-50 resistance 0.0027244 will lend more clarity to the anticipated bullish trend direction.
Similar to the monthly time frame, the above weekly chart signals a hidden bullish divergence pattern, as the price forms a higher low compared to the lower low of the Relative Strength Index (RSI).
BNBBTC – Daily Time Frame
The daily time frame signals a regular bullish divergence pattern on September 25 ’19, and a breakout of the bearish accumulation set up on October 07 ’19.
After the first break above the MA-50, the price slumped for about two days before the bulls launched another campaign above the bearish accumulation resistance on October 28.
With the price now above the MA-50, we expect a continuation of the bullish trend.
Conclusion
Taking buy positions in both the Bitcoin and Binance Coin offers potentially high profits compared to holding on to the USD, with the major direction on the weekly charts.
On a scale of preference based on our analysis, Binance Coin comes first, followed by Bitcoin. The BNBUSD has a reward-to-risk ratio of 5.12%; BNBBTC has a reward-to-risk ratio of 6.1%, and finally, BTCUSD has a reward-to-risk ratio of 4.14%.
After this quick evaluation of the charts, are you leaning more toward Bitcoin, Binance, or both?
Disclaimer
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