• Binance Coin [BNB] has reacted extremely positively over the past two days of trading, gaining 20.5%.
• The daily market structure for Binance Coin appears to be bullish again and could see a retracement before a sustained move higher.
• Spot CVD surged past February highs in response to strong demand, but Open Interest declined slightly.
Binance Coin Reacts Positively
Binance Coin [BNB] reacted extremely positively over the past two days of trading, with gains of 20.5%. This was likely due to bullish euphoria from Bitcoin’s recent surge in value.
Daily Market Structure Bullish
On the daily timeframe, the market structure for Binance Coin seemed to be bullish once more. A strong confluence of support at $292 was noted and the Volume Profile Visible Range showed that the price was right above the Point of Control at $304.2. The Value Area High and Low were found at $322.8 and $274.7 respectively, indicating that these levels could act as potential areas of interest for buyers.
Spot CVD Surges
Spot CVD surged past February highs in response to strong demand, though Open Interest dipped slightly over 48 hours in spite of rising prices – an indication that sentiment might be flipping back towards buying pressure again soon.
The funding rate had become positive after being negative for two days, suggesting longer-term buyers could enter now or wait for a pullback into the $285-$292 zone before doing so safely.
Risk-Averse Traders Can Wait
Risk-averse traders may want to wait for a positive reaction over three days before looking to buy and trade with the trend too – this will ensure their entry is safe and profitable in the long run too.
The information presented does not constitute financial, investment, trading or other types of advice and is solely the writer’s opinion