Binance Coin Price Analysis: BNB Plumets Below $22 But Will It Go Any Lower?

  


Binance Coin has seen a major decline of 11.7%  over the past 24 hours, as it currently trades at around $21.90. The drop is largely attributed to the 7% price decline seen in Bitcoin, however, BNB has also fallen further against BTC adding to its demise. Binance Coin has now plunged by over 17% throughout the past week as Band broke below the support at the 200-days EMA.

Binance Coin is currently the 7th largest cryptocurrency with a market cap of $3.48 billion.

  • Since our previous BNB analysis, BNB dropped below the support at $25.18 and continued to decline beneath the 200-days EMA to reach further support at $21.94 (downside 1.618 Fib Extension).
  • From above: If the bulls start to climb from here, resistance is initially located at $22.00 and $22.85. Higher resistance lies at $24, $25.18, and $26.44.
  • From below: If BNB falls beneath $21.94, immediate support below lies at $21, $20.71 (.886 Fib Retracement), and $20. Beneath $20, further support is located at $19.80, $19.00, $18.86, and $18.00.
  • The trading volume has increased slightly during the past 24 hours but remains beneath the average level.
  • The RSI has plummeted to extreme oversold conditions – a level not seen since late November 2018. As the RSI is extremely oversold it is unlikely that BNBUSD will fall too much further lower. Furthermore, the Stochastic RSI is also in extreme oversold conditions as we wait for a bullish crossover signal to send the market upward.

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  • Against Bitcoin, BNB has continued to fall after reaching the resistance at the upper boundary of the descending channel formation. BNB has found support at the August low at around 0.002265 BTC.
  • From above: If the bulls can rebound, immediate resistance lies at 0.00235 BTC and 0.0024 BTC. Above this, resistance is found at 0.0025 BTC and then at the upper boundary of the falling price channel.
  • From below: The nearest level of support lies at the August low a 0.002265 BTC. If the sellers break beneath this, further support is located at the downside 1.272 Fib Extension at 0.0021939. This level is bolstered by the lower boundary of the channel. Lower support is then found at 0.0021 BTC, and 0.00205 BTC.
  • The RSI has also plummetted to extreme oversold conditions. Furthermore, the Stochastic RSI is primed for a bullish crossover signal which should send the market higher.

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