BNB Price Rebounds Toward $250 But Risk of Drop To $200 Still Exists
BNB price (Binance coin) found support near $220 against the US Dollar. BNB is rising, but the bears could take a strong stand near the $265 zone.
Binance coin price started a recovery wave from the $220 support against the US Dollar.
The price is now trading below $265 and the 100 simple moving average (4-hours).
There is a crucial bearish trend line forming with resistance near $265 on the 4-hours chart of the BNB/USD pair (data source from Binance).
The pair could start a fresh decline unless there is a clear move above the $265 resistance.
Binance Coin Price Faces Resistance
This past week, BNB price saw a major decline below the $250 support zone. It gained bearish momentum against bitcoin, ethereum and other peers. The price tumbled below the $235 support against the US dollar and tested the $220 support.
A low was formed near $220.1 and the price recently started a recovery wave. The price climbed above the $230 and $235 resistance levels. There was a clear move above the 23.6% Fib retracement level of the key drop from the $291 swing high to $220 low.
However, bnb price is still trading below $265 and the 100 simple moving average (4-hours). On the upside, the bears are protecting the $250 and $255 resistance levels. The 50% Fib retracement level of the key drop from the $291 swing high to $220 low is also near the $256 level.
Source: BNBUSD on TradingView.com
The next major resistance is near the $265 level. There is also a crucial bearish trend line forming with resistance near $265 on the 4-hours chart of the BNB/USD pair, above which the price is likely to aim a test of the $275 level in the near term. Any more gains might send the price towards the $300 level.
Fresh Decline in BNB?
If BNB fails to clear the $265 resistance, it could start a fresh decline. An initial support on the downside is near the $240 and $238 levels.
The first major support is near the $230 level. The next major support is near the $220 level. If there is a downside break below the $220 support, there could be an extended decline towards the $200 support.
Technical Indicators
4-Hours MACD – The MACD for BNB/USD is gaining pace in the bullish zone.
4-Hours RSI (Relative Strength Index) – The RSI for BNB/USD is currently above the 50 level.
Major Support Levels – $238, $230 and $220.
Major Resistance Levels – $255, $265 and $275.
Filed under: Bitcoin - @ December 20, 2022 5:06 am