Altcoin
Altcoin Giant Cuts Recent Gains, Can It Recover?
BNB price struggled above $720 and began a downward correction. The price is now moving lower and there is a risk of further declines below $600.
- BNB price started a new decline below the $650 support zone.
- The price is now trading below $650 and the 100 hourly simple moving average.
- There is a key downtrend line forming with resistance at $650 on the hourly chart of the BNB/USD pair (data source from Binance).
- The pair could gain bearish momentum if it closes below the $600 support.
BNB price reduces earnings
After a sharp increase, BNB price struggled near the $720 resistance. As a result, a bearish reaction occurred below the $680 support Ethereum AND Bitcoin.
The price fell below the $650 support and the 100 simple moving average (4-hours). It traded as low as $613 and is currently consolidating losses below the 23.6% Fibonacci retracement level of the downside move from the swing high of $724 to the low of $613.
The price is now trading below $650 and the 100 hourly simple moving average. Immediate resistance is near the $630 level. The next resistance lies near the $640 level.
There is also a key downtrend line forming with resistance at $650 on the hourly chart of the BNB/USD pair. A clear move above the $650 zone could push the price higher. In this case, the price of BNB could reach $665. A close above the $665 resistance could set the pace for a larger rise towards the $672 resistance. Any further gains may require a test of the $680 level in the coming days.
More losses?
If BNB fails to break out of the $640 resistance, it could continue to fall. Initial support on the downside is near the $615 level.
The next major support is near the $605 level. The main support is located at $600. If a break below the $600 support occurs, the price may fall towards the $580 support. Any further losses could initiate a broader decline towards the $550 level.
Technical indicators
Hourly MACD – The MACD for BNB/USD is gaining ground in the bearish zone.
Hourly RSI (Relative Strength Index) – The RSI for BNB/USD is currently below the 50 level.
Major support levels: $605 and $600.
Major resistance levels: $630 and $650.