- BNB has lost over 20% since hitting this year’s high on June 6, but technical indicators show that it might be time to buy the token, which could hit new highs in July.
- Ethereum DEX protocol Pendle, Base-based meme coin Brett, and high-scaling Kaspa are the other tokens poised to surge in July after momentum waned toward the end of June.
After the crypto market recorded a bullish start in June, where most tokens hit their highest since March, the momentum seems to have waned, and most have lost these gains. However, as we head into July, some of these tokens could be accumulated at bargain prices as they target new rallies over the next few weeks.
One of the coins in focus is BNB. The token started June positively, surging from $593 to a local high of over $720 in the first week. However, this momentum was short-lived; since then, it has dipped to a monthly low of $557. Attempts to recover from the bearish run have been quickly thwarted, and at press time, it trades at $576.
BNB could have an even better July. For one, it has managed to win a victory against the SEC in the agency’s lawsuit against Binance. As Crypto News Flash reported earlier today, a judge in the District of Columbia dismissed the SEC’s attempts to label BNB sales as securities transactions, marking the latest in a growing list of losses taken by Gensler and his team.
I dont think the market has properly digested how bullish the recent @binance vs SEC court decision is for $BNB itself. https://t.co/yBPdgq7V20 pic.twitter.com/WGKx1foWcV
— CryptoCondom (@crypto_condom) June 29, 2024
Further, the $570 price level has proven a strong support level for the token. After dipping from its $720 high, analysts expected the token to find support above $635, but it blew right past. However, the mid $570s have proven to be strong support and have held throughout the past week. If the token manages to stay above this price, it would give the bulls a stage to step in and prop up the prices.
BNB’s relative strength index stands at 53 at press time, recovering from a monthly low of 23 on June 24 when the asset was oversold. This reading is neutral and shows that either the bears or bulls could take charge.
Pendle a Small Cap Gem
Besides BNB, other opportunities lie in the smaller-cap cryptos. One of these is Pendle. The native coin for the eponymous DeFi project that provides a market for yield-bearing tokens. Launched in 2021, Pendle Finance now boasts a total value locked in excess of $3.6 billion.
Pendle trades at $4.95, losing 2.4% in the past day and over 18% since the start of June. Its market cap of $765 million makes it the 89th largest in the market.
The key indicator supporting the bullish thesis for Pendle is the Parabolic Stop and Reverse (Parabolic SAR). This indicator identifies potential reversals in an asset’s price—it shows traders where they should enter the market or when to exit. On the trading charts, it’s marked by a dotted line, and whenever this dotted line is above an asset’s price, it indicates that traders should get into the market.
For Pendle, this indicator is slightly above the price at $5.02. It has stayed above the price for the past five days, hitting a high of $6.08 on Wednesday when the price was $5.3.
No spam, no lies, only insights. You can unsubscribe at any time.
Credit: Source link
