Binance Coin Price Analysis: BNB/BTC Is Trying To Hold On To Support

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BNB Price: Trends and Highlights for August 2

• BNB/BTC is following a descending resistance line.
• There is support at 25,000 satoshis.
• Daily moving averages are very close to making a bearish cross.
• BNB is creating a weekly bearish engulfing candle.

Long-Term Support

A look at the daily time-frame gives us the support area outlined below. It is found at 25,000 satoshis. The area acted as support throughout February. The Binance Coin price again reached it on July 13 and immediately began an upward move. This created a long lower wick, in that there is buying pressure around that area. At the time of writing, the price was trading slightly above it. While it is not clearly visible in the daily time-frame, a look at the six-hour one shows that the price is following a descending resistance line. The line has been touched four times, increasing its significance. If the price continues to decrease at the rate predicted by the line, it will reach the support area within the next ten days.

Possible Downtrend

A look at the daily moving averages (MA) gives a bearish outlook. The 10- and 20-day MAs are very close to making a bearish cross. The MACD is doing the same. Additionally, the Binance Coin price is trading below both MAs. When it made an attempt at moving above them on July 31, it was stopped once it reached the 10-day one. The movement of the moving averages support a decrease towards the support area. A look at the weekly time-frame does not reject the findings from the short-term ones. After four doji candlesticks, suggesting indecision, the price is in the process of creating a bearish engulfing candle. However, the weekly candle does not close until Sunday, giving BNB more time to initiate a reversal. A weekly close below 25,000 satoshis would likely invalidate the support area and signal further decreases.

Binance Coin Price Summary

The BNB price is following a descending resistance line. According to our analysis, it is likely to continue decreasing at the rate predicted by the line until it reaches the support area at 25,000 satoshis. Do you think the Binance Coin price will reach the resistance area outlined above? Let us know in the comments below.

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Disclaimer: This article is not trading advice and should not be construed as such. Always consult a trained financial professional before investing in cryptocurrencies, as the market is particularly volatile. Images are courtesy of Shutterstock, TradingView.