BNB Price Corrects from Resistance Zone
The price of BNB has experienced a downward correction after facing resistance near the $645 zone. The current price is trading around $515 and is supported by the 100 simple moving average (4 hours). A bearish trend line has formed with resistance near $520 on the 4-hour chart of the BNB/USD pair.
- The price correction was expected after reaching the $645 resistance level.
- BNB has outperformed Bitcoin and Ethereum, surpassing the $600 resistance level.
- The price decline has brought it to the $515 level, where it is supported by the 100 simple moving average (4 hours).
- A key bearish trend line near $520 is acting as resistance for BNB.
BNB Price Holds Support
In our previous analysis, we discussed the possibility of further gains above the $550 resistance zone for BNB. The price continued to rise and surpassed several hurdles near the $580 level. It even outperformed Bitcoin and Ethereum, breaking through the $600 resistance. However, it faced strong resistance near the $645 zone, resulting in a downside correction. The price dropped below $600 and is currently trading around $515.
The downward move has taken the price below the 23.6% Fib retracement level of its upward move from the $365 swing low to the $645 high. The current support level is near $520, which is also where a bearish trend line has formed on the 4-hour chart of BNB/USD. The next major resistance level is at $550, and a clear break above this level could lead to further gains.
More Losses?
If BNB fails to overcome the $520 resistance, it may continue to move downwards. The initial support level on the downside is around $500 or the 50% Fib retracement level of its upward move. If the price further declines, the next significant support level is near $470, with the main support at $430. A break below this level could result in a larger decline towards $400. Further losses could potentially push the price towards the $350 level.
Technical Indicators
The MACD for BNB/USD on the 4-hour chart indicates a bearish trend, gaining momentum in the bearish zone. The RSI (Relative Strength Index) for BNB/USD is currently below the 50 level.
- MACD: The MACD for BNB/USD is showing a bearish trend on the 4-hour chart.
- RSI: The RSI for BNB/USD is currently below 50.
Conclusion
The price of BNB has undergone a correction after facing resistance near the $645 zone. It is currently trading around $515 and is supported by the 100 simple moving average (4 hours). The presence of a bearish trend line near $520 suggests that further gains may be challenging. If BNB fails to overcome this resistance, it could continue to move downwards with initial support at $500 and further support at $470. Technical indicators indicate a bearish trend, with potential for more losses if key support levels are broken.
Hot Take: What’s Next for BNB?
BNB has experienced a correction after reaching resistance near $645, and it is currently trading around $515 with support from the 100 simple moving average (4 hours). The presence of a bearish trend line near $520 suggests that further gains may be challenging. If BNB fails to overcome this resistance, it could continue to move downwards with initial support at $500 and further support at $470. Technical indicators indicate a bearish trend, with potential for more losses if key support levels are broken.
Sources: BNBUSD on TradingView.com
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