Binance Coin price analysis: BNB/USDT set to move lower after a pullback

binance coin

TL;DR Breakdown

  •  Binance Coin trading near a 61.8 Fibonacci retracement.
  •  BNB/USDT has regained most of the loss seen earlier this week.
  •  A clear resistance around 41.5 USDT still holds BNB/USDT from moving higher. 

Binance coin has moved higher during the past 24 hours after a strong downside momentum earlier this week. A critical 61.8% Fibonacci retracement level has been reached and the price currently trades close to it. This will likely reverse the price action and more downside is to be seen in the upcoming days.

Binance Coin price analysis: BNB/USDT set to move lower after a pullback 1

Cryptocurrency heat map by Coin360

Binance Coin Price Prediction: BNB ready for more downside over the weekend

BNB/USDT opened at 40.11 USDT earlier today and so far has set a high of 41.51 USDT after a strong bullish move yesterday. At the time of writing BNB trades around 41.1 USDT and has a strong resistance above the 41.5 USDT level. This is near a 61.8 percent Fibonacci retracement level from the previous major downswing.

After the 61.8 percent Fibonacci retracement level was rejected earlier today, another attempt to break was made in the past hours. However, the BNB/USDT still finds strong resistance. This could lead to another major move to the downside over the weekend.

Binance Coin price movement in the last 24 hours

The price of Binance Coin has increased by 17.5 percent since a new major low was set at 35 USDT earlier this week and a strong upside was seen over the past 24 hours. The price currently trades close to the daily high of 41.5 USDT and the upside moment continues to push the price to higher levels. However, the price is likely to reverse over the weekend if a clear break above the 41.5 USDT level is not made.

Binance Coin price analysis: BNB/USDT set to move lower after a pullback 2

Binance Coin price chart by TradingView

BNB/USD 4-hour chart – price ready to move lower?

The next Binance Coin support level can be seen around 40 USDT as it offered major resistance on the 12th of January. As the price of BNB/USDT is set to reverse this will be a key level to watch.

If the price moves below it, more downside can be expected in the upcoming 24 hours. If it breaks clear, BNB/USDT will move lower towards the next resistance of 37 USDT.

Another key level to watch is the daily high of 41.5 USDT. If it is broken, Binance Coin will move higher towards a weekly high of 45 USDT. The 45 USDT price level previously offered a very strong resistance on the 7th and 10th of January, making a double top pattern. The price of Binance Coin then saw a clear rejection over the next 24 hours, which indicated a clear resistance around the price area.

Binance Coin Price Prediction: Conclusion – More downside to be seen over the weekend

As the BNB/USDT has increased by around 12% since the previous closest low of around 37 USDT, a retracement is expected in the coming days. Strong resistance is currently being tested for the BNB/USDT around 41.5 USDT and if the price continues to trade below it, more downside will follow.

Therefore, the analyst is bearish for the price of BNB/USDT and expects another major bearish move to the downside.

Disclaimer. The information provided is not trading advice. Cryptopolitan.com holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decisions.

Richard Adrian

Richard Adrian

Richard is a versatile fintech analyst with a deep understanding of blockchain domains. As much as technology fascinates him, he finds the intersection of both technology and finance mind-blowing. The firm belief that fintech will drive the future has brought him to the crossroads of Fintech discoveries and transmission of immutable data to a wider audience - Cryptopolitan.

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