BNB Price Surges 1.2% to Reach $557 Value, Attributable to Lower-Than-Expected U.S. CPI Data and Major Investment from Abu Dhabi's MGX Fund Management

The Binance coin shows reversal potential amid a bullish chart pattern.

The price of BNB, the native cryptocurrency of the Binance exchange, rose 1.2% during Wednesday’s trading session to reach the $557 value. The uptick can be attributed to lower-than-expected U.S. CPI data and major investment from Abu Dhabi’s MGX Fund Management. The Binance coin shows reversal potential amid a bullish chart pattern.

Abu Dhabi’s Fund Invests $2 Billion In Binance For Minority Stake

An Abu Dhabi-based sovereign wealth fund, known as MGX, has invested $2 billion in Binance for a minority stake in the cryptocurrency exchange. The transaction, which was completed entirely in crypto (stablecoins), is the largest investment transaction in the crypto industry to date.

This deal also marks Binance’s first institutional investment, signaling a significant step toward mainstream institutional adoption of cryptocurrencies. The infusion of capital could bolster Binance’s expansion plans and reinforce confidence in the exchange amid an evolving regulatory landscape.

At present, the Binance coin price is showing signs of reversal potential as it moves within a rising wedge chart pattern.

BNB Price Sets Major Reversal Within Wedge Pattern

In the last two days, the BNB price surged up from $507 low to $559 current trading value, registering a $10.3. This upswing initiates a bullish reversal from the long-coming support trendline of the rising wedge pattern.

The chart setup drives a sustained recovery between two converging trendlines which provides the asset with dynamic resistance and support. Historical data shows the previous reversals from this support have uplifted BNB price from 46% to 148%.

Thus, if the pattern holds true, the current reversals could be over 50% to challenge the channel’s resistance trendline at $840. An upside breakout from overhead resistance is crucial drive next bull run.

On the contrary, a breakdown below the bottom trendline will invalidate the bullish thesis.

To conclude, the Binance coin price shows reversal potential amid a bullish chart pattern. However, a breakdown from the rising wedge will negate this prediction.