BNB Price Forecast: New All-time Highs Ahead as $630 Resistance Weakens

BNB price soared to a 75-day peak of $637 on Monday, June 3, 2024, sparking optimism of imminent all-time highs as the month unfolds, crucial market data trends shows unusual bullish patterns among speculative BNB traders.

Why is BNB Price Up today?

BNB price has spiked 5% within the daily timeframe on June 3, reaching a 75-day peak of $637.91 on around 8am GMT. The upswing appears to have been generated by bullish speculations surrounding the Ethereum ETFs and upcoming macro indices reports in the US all expected to boost trading volumes across the crypto markets in June 2024.

Following CEO Changpeng Zhao, conviction in April, the regulatory spotlight surround Binance’ exchange has cooled off considerably. This puts the exchange in prime position to benefit from the expected institutional inflows and trading volume surge if the US Fed votes to cut interest rates in the coming weeks.

By paying trading fees in BNB coins, crypto traders on Binance get a 25% discount. Unsurprisingly, over the years, this vital utility factor has seen BNB price record dramatic price surges during periods of intense market activity.

Bulls Traders Have Raised Funding Rate 300%

As crypto enthusiasts anticipate a burst of activity in June 2024, this rare market phenomenon appears to be in play for BNB price action once again. Recent trends observed in the derivatives markets suggest that strategic traders are already taking bullish positions along this line.

Coinglass’ funding rate metric tracks the volume of leverage that long and short traders are applying on their active futures contract positions. An uptick in funding rates suggests that long traders are dominant, and vice versa.

As illustrated in the chart above, BNB funding rate has increased from 0.0016% on May 31, to reach 90-day peak of 0.032% at the time of writing on June 3. This reflects that BNB bull traders have gained confidence in the last few days as evidenced by their 300% surge in funding rate.

Essentially, this means BNB bulls are opting to pay higher leverage fees to keep their contract open, in hopes of book higher profits when spot prices surge in the days ahead.

More so, BNB price have often recorded significant breakouts whenever there’s a major surge in funding rate. If this historical bullish pattern repeats BNB price could make another leg-up to surpass its previous all-time high at $686 recorded in November 2021.

BNB Price Forecast: BNB Now 8% Away from All-time High

BNB price has retraced towards the $627 level at the time of writing on June 3, just 8% shy of reaching the all-time high at $686. However, the remarkable 300% surge in funding rates suggest that bull are in firm control of the market momentum and another upswing above $690 could be on the cards in June 2024.

In affirmation of this bullish stance, BNB’s Parabolic SAR indicator dots now point toward $597, which is significantly lower than the current prices.

When this signal flashes, it indicates a strong upward trend and often time encourages prospective traders to enter new positions. If this scenario plays out, BNB price could record further upside in the days ahead.

While the bullish momentum is currently strong, Binance Coin price faces strong resistance at the $680 level, as some holders could start to book profits taking advantage of the imminent all-time high euphoria.

But if the market takes a negative turn, the bulls could mount a short-term support cluster at the $597 level as indicated by the Parabolic SAR dot.