Last week’s rally in Binance Coin (BNB) price was rejected from a descending trendline. However, a recent news said that Binance coin has rolled out its first quarterly Automatic recording support BNB investors. Automatic recording leads to removed a total of 1,684,387.11 BNB from its circulation, including the 6296,305493 BNB that was burned during the Pioneer Program Burn.
Main technical points:
- BNB money bears threaten to sink 200-day SMA
- Daily RSI is not entering bullish zone
- The 24-hour trading volume on Binance Coin is $2.12 billion, showing a 7.5% increase.
The source-Tradingview
Recently when we covered an article about Binance Coin, the BNB/USD pair bounced back from the 0.618 Fibonacci support and started a V-shaped recovery in its chart. However, the price failed to overcome the combined resistance of the critical $500 resistance level and the descending trend line.
This resistance trendline has interrupted any upside attempt since the correction began in December 2021. Until this trendline is intact. prices will continue to go down.
On January 5, an intense sell-off in the crypto markets caused a drop from the key support area. The BNB price chart shows four consecutive red candles, causing the price to drop 15.5%.
With selling underway, BNB has reverted to a retest of the 200 SMA. If the currency sustains support of this EMA, the price could retrace the dynamic resistance trendline for a bullish breakout.
The slope of this daily Relative Strength Index (41) has rejected from neutral (50) and dropped back into oversold territory.
BNB price is trying to sustain above $450 . mark
The source- Tradingview
Before this downward rally can reach the current lower support of $400, BNB price faces a confluence support of 0.5 FIB and $450 levels. Violation of this strong area of interest, price action will provide further confirmation to extend its correction phase
The Average Directional Momentum Index (23) shows significant downside momentum due to the recent rally. However, the slope has started to increase again as coin prices continue to fall again.
- Resistance: $500, $570
- Support Level: $450, $400