https://ift.tt/3JuU113 bearish the first day of 2022

TL;DR Breakdown

• Binance Coin price analysis is bearish today.
• BNB/USD found support at $510 previous support.
• Resistance at $525 is currently retested.

The Binance Coin price analysis is bearish today, as we anticipate the current fast surge to $525 resistance leading to another reversal. As a result of the quick rise, the BNB/USD pair will likely test further downside.

The price analysis of Binance Coin is bearish today. The pair found support at a key level of $510 previous resistance, which coincides with a former medium-term support point from August 2017 that had been tested several times before being broken to open up new lows into December last year.

In our last price analysis of BNB/USD, we anticipated a possible breakout higher from the descending pattern, near the upper border of a consolidation area resting between $500 and $490.

As seen on the chart above, the price action remains within this area for now. Resistance at $525 is currently retested after breaking through it with strong momentum yesterday morning. The breakout looks sustainable, but another push higher might be challenging to achieve due to the current bearish pressure.

Binance Coin price movement in the last 24 hours: Binance Coin respects $510 support again, spikes back to previous high

Technical indicators are mixed as Bollinger Bands descend, while RSI and MACD have some room to fall. Bollinger Band widthBandwidththat volatility will be increasing further when it comes to BNB/USD movements in general in the coming hours or days before deciding which way next.

Short-term traders should hold a short bias towards Binance Coin, given daily technical signals are bullish overall. However, a neutral bias is preferred in the coming days’ given mixed signals.

A daily close below $510 is bearish, which might alter an ongoing short-term bullish trend. Alternatively, a move above $525 would shift the momentum towards buyers – opening up upside towards stated key resistance at $540 and lower targets at $590 and $620.

A long position may be taken from the confluence of support around $500-$510 with a protective stop loss placed just below this zone, while maintaining a tight SL slightly below the last low marking our potential entry point for taking a long trade on BNB/USD .

BNB/USD 4-hour chart: BNB gets rejected by the $525 resistance again

On the 4-hour chart, we can observe a brief spike upward this morning that was followed by resistance for additional rises, suggesting that the Binance Coin price will fall later today.

The price of Binance Coin has been fluctuating significantly this week. After establishing several higher highs and lows, BNB/USD rose to $573 on the 27th of December, establishing another impressive higher high.

However, the retracement that followed successfully overcame the previous support, resulting in a significant reversal. Binance Coin’s price dropped considerably on Wednesday, returning it toward key monthly support at $510.

Since its low of $250 in mid-June, the Binance Coin price has fluctuated between $525 and $510. Today, after a rapid reaction to $525, the BNB/USD pair fell back to test support at $500 once again. It’s possible that BNB isn’t yet ready to recover; therefore, more downside is expected over the next 24 hours.

Binance Coin Price Analysis: Conclusion 

The Binance Coin price analysis is bearish today, as the upside is consistently rejected. As a result, BNB/USD is anticipated to next break below $510, where it would extend its several-day slide.

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.