Find The Reason Of Binance Coin (BNB) Grows 8.5%

Binance Coin on Wednesday surged as high as 8.5 % against the us dollar once the company released a demo video of its decentralized exchange.

The BNB/USD is currently trading at 6.33-fiat, down 1.89% from its intraday high at 6.45-fiat. The pair is moving inside a rising wedge channel, a value wave reversal pattern. As it heads to a completion – signified by depleting volume and value bouncing inside the wedge vary – BNB/USD is likely to break out of the said channel to the downside. Considering a short trade once the value breaks down the wedge support and try exiting long positions to minimize potential losses. At the same time, consider putting a stop loss order simply higher than the most recent high as you enter a short trade.

Other indicators are also inform to a potential downside action. On the 1H chart, the 50-period moving average has a lead over the 200-period moving average. At the same time, the RSI momentum indicator is consolidating while staying inside a correction from the overbought space. The stochastic oscillator, meanwhile, has simply overreached its upper side target and may follow a remedial course within the next few hours to the downside.

As a correction takes place, the BNB/USD is likely to find support at 50-period SMA. An extended bearish action would allow the pair to finish a head and shoulder pattern whereas eyeing 5.47-fiat as the interim neckline.

DEX Demo disclosed

Binance has simply released the video demo of its decentralized exchange, dubbed Binance DEX. The recording also includes a short sneak-peak into Binance Chain which, according to the project developers, would provide “low latency, high throughput trading, as well as decentralized custody of funds.”

The combined prowess of a DEX and a public blockchain permits BNB holders to speculate on a bright way forward for the Binance platform. Binance Chain, specifically, expects to perform like Ethereum blockchain, which might enable projects to issue their company tokens on the main chain. Overall, the development leads to a binance-based ICO market of its own.

As for DEX, the platform looks and functions nearly similar to what Binance offers in its centralized version of trading. Except, it allows users to come up with a 24-word mnemonic seed phrase for personal keys, a “balance tab” to update users regarding their account status, and a “user icon” that shows individual wallet addresses.

Binance is looking to release the DEX platform earlier next year.