BNB Price Struggles Below Weekly Highs Near $500k

By Rekha chauhan
January 21, 2022 Updated January 21, 2022
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BNB price action has been fading towards $400 after being rejected near $500, with bulls unable to close above the 100 DMA. The recent break of the important moving average crossovers signals witnesses no major correction. The formation of consecutive three “Doji” candlesticks reflects a conflict between the market participants.

  • BNB price lock-in modest gains on Thursday.
  • Further downside is expected below 200 EMA.
  • BNB’s RSI expects upside reversal as bears lose momentum.

BNB bulls gear up for a reversal above the inflection point

BNB price made a slight bounce back after retracing from the December 27 high of $572.15, the formation of a bullish “hammer” aids the upside momentum. The descending trend line from the ATH acts as a barrier for the bulls. There is a futile attempt by the market participant to hold near the recent highs made on January 16. A decisive close above today’s session high would see an upside journey toward the important resistance confluence of moving average’s cross over at $500. This also coincides with the bearish sloping line from the above-mentioned high levels.

Source: Trading view

Furthermore, the daily Relative Strength Index (RSI) is reading at 42 with a bullish crossover. Any uptick in the oscillator could see impressive upside momentum. Talking about the MACD (Moving Average Convergence Divergence) holds onto the negative zone, which might be of concern for the bulls.

Now, if the BNB price closes above $500.0 with above average volumes then the next destination for the buyers could be found at the horizontal resistance level at $550.0.

On the flip side, a decisive break below the 200 EMA would see the interim support level at $407.02. The low was made on January 10, the same levels last seen in October.

 

Rekha has started as Forex market analyst. Analyzing fundamental news and its impact on the market movement. Later on, develop an interest in the fascinating world of cryptocurrency. Tracking the market using technical aspects. Exploring on-chain analysis to track the market.
The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.

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