BNB price hits a new ATH, technicals suggest more upside

BNB price managed to break through the $1,100 threshold as its ecosystem continues to grow. A bullish continuation pattern formed on its chart points to more gains ahead this Uptober.

According to data from crypto.news, BNB (BNB) hit a new all-time high of $1,110.9 on Oct. 3 morning Asian time, as bulls managed to break past its previous record at $1,076 reached just two weeks earlier. Trading at $1,100 when writing, it lies 31% higher than last month’s low and 107% above its lowest point this year.

The daily chart shows that BNB has been in a strong bull run since late June this year. It has crossed a crucial resistance level at $797.7, its height level on Dec. 4.

It has moved above all of its key moving averages, with the 50-day SMA crossing above the 200-day one, forming a bullish golden cross pattern that has historically preceded strong rallies for weeks or months.

Furthermore, ever since it started rallying earlier this year, it has been trading within an ascending parallel channel pattern. 

In technical analysis, this pattern forms when an asset trades between two upward-sloping parallel trendlines and typically points to a sustained uptrend and suggests increasing gains as long as the price remains within the channel. A breakout above the upper trendline serves as an even stronger bullish signal, often pointing to accelerated upside momentum.

The MACD lines have also pointed upwards with growing green histograms, while the Aroon Up lies at 100% while the Aroon Down lies at 50%, a setup that shows buying pressure is significantly outperforming the selling pressure.

Therefore, with October already shaping up as a risk-on month, consistent with its track record of favoring upside for both Bitcoin and altcoins, BNB would likely continue its rally toward the $1,200 psychological resistance level. 

A breach of this ceiling could instill confidence in bulls to target higher, potentially as high as $1,550 over the coming months, a level derived from the extended Fibonacci retracement. This target lies 41% above its price at press time.

A number of catalysts currently in play could continue to support BNB price gains over this month.

First, BNB traders are bullish because of recent upgrades to the BNB chain. Most recently, the BNB chain reduced its minimum gas price to 0.05 Gwei. Several other upgrades are also expected to come in the following months.

Second, BNB chain network activity has surged due to strong performances recorded by BNB chain-based projects such as Aster and PancakeSwap over the past few weeks. 

This has led to a noticeable uptick in investor confidence across the ecosystem. The total value locked on the BNB chain has climbed 2.2% in the past 24 hours to $14.67 billion, according to DeFiLlama data, while the stablecoin supply on the network has also increased from $11.5 billion to $13.46 billion over the past week. 

At the same time, total active addresses on the network have also increased to 2.31 million, up 8% over the day, while revenue generated from network fees has surged to $4.41 million, with most of it coming from PancakeSwap.

Investors are also pricing a near-certain chance of the approval of a spot BNB exchange-traded fund in the U.S., in light of the fact that the Securities and Exchange Commission has recently withdrawn delay notices for multiple ETF applications.

Lastly, BNB is also witnessing fresh demand as a treasury asset with some of the recent entrants being China-based Jiuzi Holdings, which said it would include BNB in its $1 billion crypto treasury plan. Kazakhstan’s state-backed Alem Crypto Fund, which is expected to launch in partnership with Binance, is also reportedly planning to add BNB as the first asset in its portfolio.