As predicted last week, BNB finally took a downturn yesterday and fell by another 6% near April’s low. It appears bearish on the day as bigger drops are underway. March’s breakpoint is a key target to watch for retests.
Going back to where BNB started to lose momentum at $725 in June, it lost roughly 20% to $590 in a week and bounced briefly to $630. It saw a rejection there and resumed bearish. However, due to an extreme drop in volatility, the selling pressure became choppy for straight three weeks.
This led to a period of serious liquidity gathering as it initiated another sell-off yesterday to continue its existing bearish correctional phase. It broke down May’s low today and is now trading at around $532.
From a technical perspective, BNB is likely to experience a massive loss in the coming days considering the latest bearish setup. Looking at the bigger picture on the daily timeframe, it could revisit the $428 support level that got flipped as resistance in March.
However, if it finds a solid ground above this March’s low, the asset may pick up again and start to regain momentum. No doubt, it is still trading in a bullish zone on the macro level but it is currently looking for a threshold to initiate a fresh increase.
BNB Key Level To Watch
Source: Tradingview
While BNB is looking for a solid ground level, the potential supports to watch for a rebound are $508 and $496. If they fail to hold in the current drawdown, it may navigate $470 and $490 before finding a threshold.
It has recovered slightly near the $536.7 resistance (May’s low). A climb above it could bring a small retracement to the $560 resistance before falling back. There’s also resistance at $587 in case of more recovery.
Key Resistance Levels: $536.7, $560, $587
Key Support Levels: $508, $496, $470
- Spot Price: $532
- Trend: Bearish
- Volatility: High
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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