BNB Price Prediction: Why This Support Is The Key For Fresh Increase
2 min read
BNB price (Binance coin) declined heavily after the FTX collapse against the US Dollar. BNB must stay above the $300 support to start a fresh increase.
- Binance coin price started a major decline from the $360 resistance zone against the US Dollar.
- The price is now trading above $300 and the 100 simple moving average (4-hours).
- There was a break below a major bullish trend line with support near $338 on the 4-hours chart of the BNB/USD pair (data source from Binance).
- The pair could start a fresh increase if it stays above the $300 support zone.
Binance Coin Price Revisits Key Support
After forming a base above the $280 level, BNB price started a strong increase. The price climbed above the $300 and $335 resistance levels.
The price gained pace after it broke the $350 barrier and the 100 simple moving average (4-hours). Finally, it spiked above the $360 level and formed a new monthly high at $361. Recently, FTX’s drama and collapse dragged the market lower, including ethereum, bitcoin and ripple.
There was a major decline below the $345 and $335 support levels. The price even spiked below the 50% Fib retracement level of the upward move from the $264 swing low to $361 high.
Besides, there was a break below a major bullish trend line with support near $338 on the 4-hours chart of the BNB/USD pair. The price is now consolidating above $300 and the 100 simple moving average (4-hours). An initial support is near the $312 level.
Source: BNBUSD on TradingView.com
The first major support is near the $300 level. It is near the 61.8% Fib retracement level of the upward move from the $264 swing low to $361 high. The next major support is near the $286 level. If there is a downside break below the $286 support, there could be an extended decline towards the $260 support.
Fresh Increase in BNB?
If BNB fails remains stable above $312 or $300, it could start a fresh increase. On the upside, the $330 and $338 levels are immediate hurdles.
The next major resistance is near the $345 level, above which the price is likely to aim a test of the $365 level in the near term. Any more gains might send the price towards the $380 level.
Technical Indicators
4-Hours MACD – The MACD for BNB/USD is losing pace in the bearish zone.
4-Hours RSI (Relative Strength Index) – The RSI for BNB/USD is currently below the 50 level.
Major Support Levels – $312, $300 and $286.
Major Resistance Levels – $330, $338 and $365.
