Cryptheory – Crypto and Artificial Intelligence

Cryptocurrency and Artificial Intelligence – Get an Overview of Market News

Binance Coin analysis – BNB price recovery is on shaky ground

4 min read

The price of the Binance Coin (BNB) has meanwhile rushed south in the wake of the negative news about the Binance crypto exchange. At the beginning of the week, the Danger of potential liquidation of $150 million in Venus lending protocol for additional uncertainty in the Binance Smart Chain community. The BNB price subsequently collapsed by a further eight percentage points. At 221 US dollars, the Binance Coin meanwhile marked a new low for the year before the price stabilized. According to on-chain analysts Lookonchain, as the BNB price tumbled, a whale also pulled the ripcord and sold 10,000 BNB.

From a technical point of view, the price correction in the last seven trading days was not completely unexpected. The last price analysis pointed out the battered chart picture and the relevance of the make-or-break level at 265 US dollars. Although Binance.US was able to avert the freezing of customer assets for the time being, the risk of further bad news has not yet been averted.

Despite the current price recovery to today’s daily high of 253 US dollars, the selling pressure could increase again significantly if the price rises to the tear-off edge at 262 US dollars. The crypto sector can benefit from a price correction in the US dollar index (DXY) in the last two trading days. The weakness of the US dollar is currently having a stabilizing effect on the prices of Bitcoin and othe altcoins.

Binance Coin (BNB) price analysis 06/14/2023
Daily chart based on the pair of values BNB/USDTon Binance

BNB: Bullish price targets for the coming weeks

Bullish price targets: $273/278, $293, $300, $314/318, $338/346

After the sensitive price slump by 22 percent in the last seven trading days, the BNB price can stabilize for a short time and in the last few days herald a relief movement to the north. However, this recovery remains on shaky ground. As long as the Binance Coin can stay above 231 US dollars at the daily closing price, the danger of another sustained price setback seems to be temporarily averted. Only when the BNB price can break through the resistance at 253 US dollars does it have to show its colors in the yellow resist zone around 262 US dollars. This make-or-break level must be recaptured in the long term in order to give new impetus.

Only then does the cross-resist of order block, 50 Fibonacci retracement and supertrend in the green resistance area come back into focus. If the Binance Coin also jumps over this zone, the Golden Pocket at 293 US dollars will come into focus again. The floating resistance EMA50 (orange) can also be found here. In view of the difficult news situation, the buyer side should find it difficult to overcome the turquoise zone directly. At the latest in the area of ​​the trailing edge at 300 US dollars, it becomes clear whether the buyers will continue to hold on to the Binance Coin or whether they have only relied on a temporary recovery movement.

The EMA200 (blue) in the daily chart is also currently running here. A price bounce southwards still seems very likely due to the uncertainty on the market. If, contrary to expectations, the bulls succeed in a dynamic recapture, a subsequent recovery towards the last highs between US$ 314 and US$ 318 would be conceivable. For now, the blue resistance zone represents the maximum upside target for the coming weeks.

BNB: Bearish price targets for the coming weeks

Bearish targets: $242/239, $231/220, $197/183, $165, $148/124

The bears have the scepter clearly in their hands. Although the bulls are using the overbought chart image in the area of ​​the December low of around 220 US dollars for a new entry, the chart still looks battered overall. The probability of another correction in the direction of the weekly low increases significantly if the bearer breaks below the red support zone between US$ 242 and US$ 239.

Then the upper edge of the purple support zone at 231 US dollars comes into focus again. It is imperative that this mark is defended on an end-of-day basis. Otherwise there is a risk of a retest of the underside of this support area at 220 US dollars. If the price falls below 220 US dollars, a fiasco threatens due to the liquidation of the 150 million US dollar position in the aforementioned Venus lending protocol.

Binance coin could currently tumble to the next target range between $197 and $183 derived from last year’s summer low. If there are further problems with the Binance crypto exchange in the coming months, a fall back above USD 165 to the green support area between USD 148 and USD 124 could no longer be completely ruled out.

Looking at the indicators

The RSI remains oversold at the 30 level. The same applies to the MACD indicator. Although this helps in the short term with the current price recovery, it must not hide the fact that the chart is very battered. Since both indicators in the weekly chart also show clear sell signals, it is not yet possible to speak of a sustainable, indicator-supported trend movement back north. The worst could only be over when the RSI in the daily chart can generate a fresh buy signal and a sustained bottom formation is also evident on a weekly basis.

 

Glassnode is a leading blockchain data and intelligence platform. Offering the most comprehensive library of on-chain and financial metrics, they provide a holistic and contextual view of crypto markets through understandable and actionable insights.

The data and statistics provided by Glassnode are trusted by the world’s leading investors, hedge funds, banks, asset managers and crypto companies.

Click to rate this post!
[Total: 0 Average: 0]
All content in this article is for informational purposes only and in no way serves as investment advice. Investing in cryptocurrencies, commodities and stocks is very risky and can lead to capital losses.