See More

Why the Collapse in Binance Coin (BNB) Price Is Big News

2 mins
Updated by Ali M.
Join our Trading Community on Telegram

In Brief

  • BNB is facing resistance at $345.
  • It broke down from an ascending support line.
  • There is support at $230.
  • promo

The Binance Coin (BNB) price broke down from both horizontal and diagonal support levels. The immediate trend is considered bearish.

The Binance Coin price has increased since reaching a low of $183.4 in June 2022. The increase led to a high of $398.3 in Nov. 

Despite the significant increase, the BNB price failed to move above the long-term $350 resistance area. Instead, it was rejected and created a long upper wick (red icon). Moreover, the weekly RSI fell below 50, a sign of a bearish trend. 

Therefore, the trend can be considered bearish until the Binance Coin price reclaims the $350 horizontal resistance area.

Binance Coin (BNB) Price Drop
BNB/USDT Chart By TradingView

BNB Price Breaks Down From Ascending Support

The technical analysis from the daily time frame shows that the BNB price has fallen since reaching a high of $398.30 on Nov. 8. The decrease was sharp, creating a very long upper wick (red icon), a sign of selling pressure.

The technical analysis from the daily chart shows that BNB broke down from an ascending support line on Aug. 27. While it increased considerably afterward, it validated the line as resistance on Nov. 8 (red icon). This created a long upper wick and initiated the current descent. 

On Nov. 21, the Binance Coin price broke down from the $262 horizontal area, which is now expected to provide resistance. This was another in a long line of bearish signals.

Furthermore, the daily RSI decreased below 50 and has not generated any bullish divergence.

So, the continuation of the decrease towards $230 is the most likely scenario. A daily close above $262 would invalidate this bearish Binance Coin price prediction.

Binance Coin (BNB) Price Daily
BNB/USDT Chart By TradingView

For BeInCrypto’s latest crypto market analysis, click here.

Disclaimer: BeInCrypto strives to provide accurate and up-to-date news and information, but it will not be responsible for any missing facts or inaccurate information. You comply and understand that you should use any of this information at your own risk. Cryptocurrencies are highly volatile financial assets, so research and make your own financial decisions.

Top crypto platforms in the US | March 2024

Trusted

Disclaimer

All the information contained on our website is published in good faith and for general information purposes only. Any action the reader takes upon the information found on our website is strictly at their own risk.

Valdrin-Tahiri.jpg
Valdrin Tahiri
Valdrin discovered cryptocurrencies while he was getting his MSc in Financial Markets from the Barcelona School of Economics. Shortly after graduating, he began writing for several different cryptocurrency related websites as a freelancer before eventually taking on the role of BeInCrypto's Senior Analyst. (I do not have a discord and will not contact you first there. Beware of scammers)
READ FULL BIO
Sponsored
Sponsored