Home CryptocurrencyAnalysis BNB Price Indicates Bullish Exhaustion, Are Short-Term Dips Attractive?

BNB Price Indicates Bullish Exhaustion, Are Short-Term Dips Attractive?

by SuperiorInvest

BNB price is struggling to break above the $320 resistance zone. It could fall towards the $288 support zone before the bulls aim for another rise.

  • BNB price is struggling to gain traction above the $320 resistance.
  • The price is now trading near $310 and the 100 simple moving average (4-hours).
  • There is a major descending channel or bullish flag pattern forming with resistance near $316 on the 4-hour chart of the BNB/USD pair (data feed from Binance).
  • The pair could continue to rise if it holds above the $288 and $282 support levels.

BNB price maintains support

After forming a base above the $280 level, BNB price started a decent rise. There was a move above the $305 and $315 resistance levels. However, the bears seem to be active near the $320 zone.

A high was formed near $320 and the price is now correcting the gains. However, the disadvantages are limited compared to Bitcoin and Ethereum. There was a move below the $312 level. The price is now approaching the 50% Fibonacci retracement level of the upward move from the low of $289.4 to the high of $320.1.

BNB price is now trading near $310 and the 100 simple moving average (4-hours). There is also a major descending channel or bullish flag pattern forming with resistance near $316 on the 4-hour chart of the BNB/USD pair.

Source: BNBUSD on TradingView.com

The immediate resistance is near the $315 level or the channel region. The next resistance lies near the $320 level. A clear move above the $320 zone could push the price up further. In the indicated case, the BNB price could test $340. A close above the $340 resistance could set the pace for a further rise towards the $350 resistance. Any further gains could require a test of the $375 level.

More disadvantages?

If BNB fails to overcome the $315 resistance, it could continue down. Initial support on the downside is near the $300 level or the 61.8% Fibonacci retracement level of the upward move from the low of $289.4 to the high of $320.1.

The next major support is near the $292 level. The main support is located at $288. If there is a downside break below the $288 support, the price could fall towards the $282 support. Any further losses could start a further decline towards the $262 level.

Technical Indicators

4-hour MACD: The MACD for BNB/USD is losing pace in the bullish zone.

4-hour RSI (Relative Strength Index) – The RSI for BNB/USD is currently below the 50 level.

Main support levels: $300, $292 and $288.

Main resistance levels: $315, $320 and $325.

Disclaimer: The article is provided for educational purposes only. It does not represent NewsBTC’s views on whether to buy, sell or hold investments, and investing naturally carries risks. It is recommended that you conduct your own research before making any investment decisions. Use the information provided on this website at your own risk.

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