BNB bulls defended the $600 support on Monday as investors booked profits following its rebound to $640. Now, with a major hard fork set to be implemented tomorrow, will the token reclaim its local highs or fall victim to a sell-the-news event?
Summary
- BNB price holds above $600 after retreating from $640, as markets turn cautious ahead of the Osaka/Mendel hard fork set for Tuesday.
- The upgrade introduces fast finality, improved stability, and fee predictability, with node operators required to upgrade to BSC v1.7.2.
- Technicals point to a potential bullish reversal, with a double bottom pattern targeting $800 if BNB breaks above the $687 neckline.
According to data from crypto.news, BNB (BNB) price rose to an intraday high of $640 on Monday morning before paring some gains and settling at $628 at press time.
While BNB, along with the broader crypto market, has been experiencing volatility resulting in slight declines across several major assets, a major milestone awaits the BNB ecosystem, set to be triggered on April 28.
Notably, BNB chain is set to activate the Osaka/Mendel hardfork tomorrow that will shift the network’s focus from purely increasing block speed to enhancing stability, predictability, and execution quality for large-scale applications. As such, node operators must upgrade to BSC v1.7.2 before the deadline tomorrow to avoid being disconnected from the network.
How will BNB price benefit from the hard fork?
The Osaka/Mendel hard fork boosts BNB’s value by transforming the network into a faster, more stable environment for both retail and institutional users. By introducing fast finality, the upgrade ensures transactions are irreversible almost instantly, while new gas limit caps prevent network congestion and keep fees predictable.
These technical refinements, combined with enhanced security compatibility for mobile hardware, attract institutional capital and high-tier developers. As this increased network activity triggers the BEP-95 burn mechanism, the circulating supply of BNB shrinks, creating a fundamental supply shock that supports long-term price growth.
BNB price could also benefit from the recent launch of Teucrium’s 2x Long Daily BNB ETF (XBNB), which provides traders with a regulated leveraged instrument to speculate on the success of this upgrade.
BNB price analysis
On the daily chart, BNB price appears to be forming a double bottom pattern formed when an asset hits a low price point twice with a moderate peak in between, signaling a potential reversal from a downtrend to an uptrend.
In BNB’s case, the pattern would lead to a bullish breakout if it moves above the neckline of the pattern at $687. This could position BNB price to reach as high as $800, a height calculated by adding the length of the pattern depth to the breakout point.
Technical indicators like the MACD and Aroon suggest that a bullish momentum shift is already underway. Notably, the Aroon Up line at 64.29% is significantly higher than the Aroon Down line, indicating that buyers are currently in control of the trend.
Also, the MACD lines were pointing upwards, another sign that positive momentum is building as the network approaches its major upgrade.
Disclosure: This article does not represent investment advice. The content and materials featured on this page are for educational purposes only.