The price of BNB has been on an upward trend for weeks but has yet to reach the record level of 720 dollars. Despite the overall stagnation in the market, Binance Coin has unexpectedly gained value. This development has been influenced by the bullish trend in the market and the release of Binance’s founder, Changpeng Zhao (CZ), from prison.
Impact of Changpeng Zhao’s Release on BNB Price
Changpeng Zhao, the founder of Binance, is a well-known figure in the industry. However, due to legal issues, he had to step down from his role as CEO. CZ completed a four-month prison sentence after paying a fine of 50 million dollars and was released on September 27. This event led to an immediate increase in BNB’s price.
CZ’s first tweet after his release generated significant excitement among investors. With a “GM” message, CZ greeted his followers, resulting in BNB’s price rising from 606.25 dollars to 616.53 dollars, marking the highest level of the month.
Technical Analysis and Future Expectations
Since reaching 464.63 dollars at the beginning of August, BNB has exhibited an upward trend. The rise from 540 dollars to 616 dollars in September represents an 11% increase for the month. However, technical indicators are providing mixed signals. While an RSI of 64.3 suggests the trend could continue, other indicators warn of overbought conditions.
“This rise in BNB is seen as a result of CZ’s return,” said a crypto analyst.
Sell Pressure and Price Corrections
In the past week, BNB has increased by 4.27% but has subsequently faced a decline, currently trading at around 604 dollars. Sellers are issuing strong sell signals through indicators such as William %R, CCI, and Momentum. This situation indicates that the price may experience consolidation or decline in the short term.
However, there is a belief that the bullish market could be effective in the long term. Yet, uncertainty remains about whether the token will escape the overbought territory.
The former CEO’s release from prison significantly impacted BNB prices. While technical indicators suggest a potential continuation of the bullish market in the long run, short-term overbought signals may lead to fluctuations. Investors should carefully monitor market movements.
