Market Analysis

BINANCE COIN PRICE ANALYSIS & PREDICTION (January 31) – BNB Faces Important Resistance Line After Forming A Double-Bottom, Potential Breakout Ahead

Last week saw Binance Coin, BNB through a major bounce after returning to a monthly low. It has seen a notable recovery and is now trading near an important resistance line on the daily. A price break is imminent.

In the last drawdown, BNB failed to create a new lower low and halted selling at around the monthly $290 support. This support held well after a slight rejection and the price climbed back above $300 in no time.

This led to a double-bottom formation on the daily timeframe as the price currently faces the important resistance line that has been suppressing bullish actions for weeks.

A successful breakout could activate more buying pressure until it meets resistance. Failure to break this resistance line could lead to another decline. The monthly low might be revisited.

Considering the latest bullish formation, there’s a higher chance for an increase than a decrease from a technical standpoint. Even though the price breaks above this resistance line, BNB must flip last month’s resistance to confirm a bullish continuation.

Inversely, the current monthly low serves as a breakdown level for BNB if the bears return to the market. Currently, the bulls are gaining dominance.

BNB Key Level To Watch

Source: Tradingview

BNB is now facing an important resistance line. A cross above it could allow more increase to the $321.7 and $338.3 resistance levels in the upcoming days. A further buy could surge the price to $350 and above.

The $303 and $290 levels are currently held as close supports. If it loses momentum and dips below these mentioned levels, the potential support to watch for a breakdown would be $277 and $257.

Key Resistance Levels: $321.7, $338.3, $350

Key Support Levels: $303, $290, $277

  • Spot Price: $311
  • Trend: Bullish
  • Volatility: Moderate

Disclosure: This is not trading or investment advice. Always do your research before buying any cryptocurrency or investing in any services.

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Image Source: moxumbic/123RF // Image Effects by Colorcinch

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