Binance Coin price prediction: BNB ready to test previous highs
3 min readTable of Contents
TL;DR Breakdown
- BNB trades around $40
- Resistance above at $44,5
- Closest support at $36-$37
Binance Coin price prediction for today is bullish as the market has continued to move higher after a strong rejection of further downside. Binance Coin currently trades at $40 on Binance.
Cryptocurrency heat map by Coin360
The overall market is sending mixed signals. Ethereum currently trades flat, while Bitcoin has lost just 2 percent. Altcoins show various results, with LINK being among the best performers.
Binance Coin Price Prediction: BNB ready for $44.5 retest?
BNB/USD opened at $40.89 today after a rejection of further downside yesterday. Since then, Binance coin has moved lower once again as it builds momentum for further upside.
The analyst believes BNB/USD will see further upside in the upcoming days, as mentioned in our previous Binance Coin price prediction. Binance coin should see increased buying pressure as Binance, which is the exchange where most of BNB is traded, is no longer blacklisted in Russia. The decision to blacklist Binance first was made in September 2020. However, now the decision has been revoked. As Russia continues to be a country with a lot of interest in crypto, Binance and Binance Coin should see increased interest in the upcoming weeks.
Binance Coin price movement in the last 24 hours
Binance Coin has traded in a relatively narrow range of $39.59-$41.85 as it saw reduced volatility over the last 24 hours. Traded volume for BNB decreased by 18 percent towards $504 million, which partly could explain the relatively calm price action.
Binance Coin has been mostly consolidating today as it prepares for the next move. After BNB rejected the $36-$37 support area, the market quickly moved higher and set a local high just below $42.
Binance Coin price chart by TradingView
BNB/USD 4-hour chart – BNB ready to move towards all-time high next week?
Overall, Binance coin has had a very volatile week. After setting a new all-time high at $47 on the 18th of January, BNB had a minor retracement. Following the retracement, BNB made a move higher once again. However, a very clear rejection was seen, resulting in a several-day decline of more than 20 percent towards the $37 support.
Since then, BNB has tested the area between 50 and 100 period moving averages as a resistance. So far, it has stopped BNB from moving higher; however, this shouldn’t be taken as an indication for a potential short position.
The current closest support for BNB is still around $36-$37. If the support is broken, Binance Coin should see a prolonged bearish momentum as the support currently is the last technical level that indicates an overall bullish trend. If the $36-$37 support is broken, a new mid-term lower low would be set, and Binance Coin would be in a technical downtrend.
Alternatively, the closest major resistance area is seen at the $44.5 level, which previously reversed the price action similarly as the current double top at the all-time high. If the resistance is broken, the Binance coin price prediction will start to become very bullish once again, as the next BNB/USD resistance of $47 should be tested shortly after.
However, if the BNB/USD moves towards the $44.5 resistance and makes a clear rejection, the analyst expects a head and shoulders pattern to be formed as a start of a much larger trend reversal.
Binance Coin Price Prediction: conclusion
Binance Coin price prediction is still bullish; however, considering that the price is currently between strong support and resistance, there is no clear trade opportunity.
Traders should wait for further price action development in the form of a retest of either the previous support around $37 or the resistance around $44.5 to achieve the best risk/reward ratio setup.
If Binance Coin can move towards the $44.5 resistance and show clear signs of rejection, a short position could offer a good risk/reward trade setup.
While you wait for further BNB/USD movements, read our latest news on why Ethereum Gas Price is so high?
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.
