The price of BNB (Binance coin) is down more than 25% and is trading below $250 against the US Dollar. The price might decline further towards the $200 support.
- Binance coin price is moving lower below the $250 support level against the US Dollar.
- The price is now trading below $250 and the 100-day simple moving average.
- There is a major bearish trend line forming with resistance near $280 on the daily chart of the BNB/USD pair (data source from Binance).
- The pair could accelerate further lower if it breaches the $220 support area.
BNB price continues to bleed
In the past few days, BNB price has seen a significant decline from well above $280 against the US Dollar. The recent lawsuit against Binance issued by the US Securities and Exchange Commission (SEC) is not helping BNB. It is also putting downward pressure on Bitcoin and Ethereum.
The last major high formed near $352 before the price fell sharply. There was a clear move below the $280 and $250 levels. The decline was such that the price tested the key $220 support area. BNB price is now trading below $250 and the 100-day simple moving average.
The bottom was formed near $221.2, and the price is now consolidating losses. On the upside, BNB is facing resistance near the $240 level. The first major resistance is near $250. It is close to the 23.6% Fibonacci retracement level of the downside move from the $352 swing high to $221 low.
source: BNBUSD on TradingView.com
The next major resistance is near $270. The main resistance is now near the $280 trendline or 50% fibonacci retracement level of the downward move from the $352 swing high to $221 low. A clear move above the $280 resistance might start to rise steadily. The next major resistance is near the $300 level, above which the price could rise towards the $325 resistance.
More losses?
If BNB fails to clear the $250 resistance, it could continue lower. Initial support is on the downside near the $220 level.
The next major support is near the $200 level. If there is a bearish break below the $200 support, there could be an extended decline towards the $180 support. Any further losses could send the price towards the $164 support.
Technical indicators
Daily MACD – The MACD for BNB/USD is gaining momentum in the bearish zone.
Daily RSI (Relative Strength Index) – The RSI for BNB/USD is currently below the 50 level.
Key Support Levels – $220, $200 and $180.
Key resistance levels – $240, $250 and $280.
