- BNB/USD currently trades around $41.5
- Binance Coin trading near strong support trendline
- Next support around $39.5
- Next resistance around $44.5
The overall market is mostly in the red today. The main exception is DOT, which has shown strong performance over the past 24 hours. Both Bitcoin and Ethereum have moved lower, pulling rest of the market down.
Binance Coin Price Prediction: BNB to reverse back to the upside soon?
Last week, Binance Coin set a new yearly high around $47 on 17th on January after a powerful bullish momentum. Afterward, BNB saw a brief retracement as the market found support around $44.5, which previously served as a resistance. From there, BNB tested the $47 high once again – this time with swift and clear rejection, which resulted in a move of just under 14%.
Yesterday, BNB reached a key support area around $41. This level is significant as it offers support from the several week ascending trendline, which has reversed the price action several times since the beginning of 2021.
Binance Coin price movement in the last 24 hours
Binance Coin price chart by TradingView
BNB/USDT 4-hour chart – BNB rejects further downside
On the 4-hour chart, BNB made a clear rejection during the past 24 hours. As the price attempted to retest the several-week ascending support trendline, BNB set a new local low at $40.2. Additionally, BNB previously established clear horizontal support around $39.5. The BNB support was not reached as it scared away any further sellers.
When looking at the Fibonacci retracement from $35 to $47, a support area between 50-61.8 percent retracement seen around the current BNB price levels should offer additional support.
The 50 and 100 period moving averages also slowed the BNB/USD price. They were broken yesterday with a strong bearish impulse. However, BNB has not moved much since. Therefore, we can expect the price of BNB to reverse back to the upside in the upcoming 24 hours.
As long as the several week ascending support trend line is not broken. BNB should continue to trade to the upside along the overall mid-term bullish trend. As long as the support trendline is not broken and the horizontal support of $39.5 still holds, the bullish trend will continue.
If Binance Coin moves below these support levels, a much larger mid-term reversal will be seen. In this case, the next support is located around the $36-$37 area. Alternatively, if BNB starts to reverse and shows further signs of rejection for further downside, the next resistance to watch is $44.5. As mentioned previously, this price level has been tested several times before. However, BNB will likely break through it as it looks for the next major move to the upside.
Next target for BNB is the yearly high of $47, which could also provide resistance. After the yearly high is breached, BNB could likely move towards the next major psychological resistance level of $50.
Binance Coin Price Prediction: conclusion – BNB will turn bullish soon
Overall, the Binance Coin price prediction is bullish for the remaining week. Today, BNB will likely continue trading around the previously mentioned support area as it looks to build a base from which to reverse back to the upside.
Key support levels are the $39.5 horizontal, the several week ascending trendline, and the area between 50-61.8 percent Fibonacci retracement.
If BNB/USD reverses back to the upside, minor resistance is seen around $44.5. A major resistance – at $47. For now, the market needs a bit more time to settle. Therefore, a trade shouldnt be made as of now.
For further reading, check out our history of BNB price predictions as well as our latest news article on the BNB accelerated burn program. If you are still not sure which crypto is right for you, read the Cryptocurrencies to Invest In blog post by Shawn.
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.