Binance Coin [BNB], the native token of the Binance ecosystem, has seen renewed attention amid a surge in decentralized exchange (DEX) activity on the Binance Smart Chain (BSC). In May alone, DEX volume skyrocketed to $178 billion, marking a significant increase in on-chain engagement. While this fundamental boost underlines growing adoption and network utility, it hasn’t yet translated into a decisive bullish breakout for BNB’s price. As of press time, the coin remained confined within a long-standing range between $531 and $725, a zone it has respected since December 2024.
Accumulation Signals Hope, But Consolidation Persists
Despite the frustrating consolidation phase, there are subtle bullish signals traders are monitoring. On the 1-day chart, the market structure remains upward trending, with buying volume seeing a steady uptick over the past 10 weeks. The On-Balance Volume (OBV) has been rising, suggesting ongoing accumulation. However, the RSI hovered around 49—indicative of neutral momentum, with no strong bias in either direction.
The mid-range zone at $628 has been a critical battleground, acting as both support and resistance since November. With this level aligning with a bullish order block, swing traders are eyeing it as a potential launchpad for a move towards the $725 range high.
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Magnetic Zones and Liquidity Traps Guide Trader Strategy
Liquidity data adds nuance to this setup. The 3-month liquidation heatmap shows relatively sparse liquidation levels near current prices, suggesting that any explosive move may take time to develop. Analysts point to $640 and $690 as magnetic zones—key targets where price could gravitate next. Traders are advised to consider long positions around the $630–$640 support band and take profits near the $690 level.
However, caution remains warranted. A drop below the $630 threshold could mark the start of a bearish reversal, especially if broader market sentiment turns south due to Bitcoin’s volatility. Until BNB decisively breaks above the $725 resistance, the token remains range-bound despite its encouraging on-chain metrics.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses
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